Riverbed Corp's unadjusted trial balance at December 1, 2017, is presented below. Debit Credit Cash $25,500 Accounts Receivable 35,400 Notes Receivable 8,000 Interest Receivable 0 Inventory 36,160 Prepaid Insurance 3,300 Land 21,900 Buildings 152,100 Equipment 60,000 Patent 9,450 Allowance for Doubtful Accounts $600 Accumulated Depreciation-Buildings 50,700 Accumulated Depreciation-Equipment 24,000 Accounts Payable 28,300 Salaries and Wages Payable Notes Payable (due April 30, 2018) 12,500 Income Taxes Payable O Interest Payable Notes Payable (due in 2023) 35,100 Common Stock 58,000 Retained Earnings 24,910 Dividends 14,500 Sales Revenue 925,000 Interest Revenue Gain on Disposal of Plant Assets 0Bad Debt Expense Cost of Goods Sold 631,500 Depreciation Expense O Income Tax Expense 0 Insurance Expense 0 Interest Expense Other Operating Expenses 61,300 Amortization Expense Salaries and Wages Expense 100,000 Total $1,159,110 $1, 159,110 The following transactions occurred during December. Dec. Purchased equipment for $15,600, plus sales taxes of $600 (paid in cash). 2 2 Riverbed sold for $3,550 equipment which originally cost $4,800. Accumulated depreciation on this equipment at January 1, 2017, was $1,850; 2017 depreciation prior to the sale of equipment was $440. 15 Riverbed sold for $5,100 on account inventory that cost $3,210. 23 Salaries and wages of $6,550 were paid. Adjustment data: 1. Riverbed estimates that uncollectible accounts receivable at year-end are $3,880. 2. The note receivable is a one-year, 8% note dated April 1, 2017. No interest has been recorded. 3. The balance in prepaid insurance represents payment of a $3,300, 6-month premium on September 1, 2017. 4. The building is being depreciated using the straight-line method over 30 years. The salvage value is $31,500. 5 The equipment owned prior to this year is being depreciated using the straight-line method over 5 years. The salvage value is 10% of cost. 6. The equipment purchased on December 2, 2017, is being depreciated using the straight-line method over 5 years, with a salvage value of $2,400.Adjustment data: 1. Riverbed estimates that uncollectible accounts receivable at year-end are $3,880. 2. The note receivable is a one-year, 8% note dated April 1, 2017. No interest has been recorded. 3. The balance in prepaid insurance represents payment of a $3,300, 6-month premium on September 1, 2017. 4. The building is being depreciated using the straight-line method over 30 years. The salvage value is $31,500. 5. The equipment owned prior to this year is being depreciated using the straight-line method over 5 years. The salvage value is 10% of cost. 6. The equipment purchased on December 2, 2017, is being depreciated using the straight-line method over 5 years, with a salvage value of $2,400. 7. The patent was acquired on January 1, 2017, and has a useful life of 9 years from that date. 8. Unpaid salaries at December 31, 2017, total $2, 120. 9. Both the short-term and long-term notes payable are dated January 1, 2017, and carry a 10% interest rate. All interest is payable in the next 12 months. 10 Income tax expense was $14,300. It was unpaid at December 31.RIVERBED CORP Adjusted Trial Balance For the Month Ended December 31, 2017 v Debit Credit Cash 201500 Accounts Receivable 92000 Allowance for Doubtful Accounts 3600Totals