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Selected transactions of Shadrach Computer Corporation during November and December of 2016 are as follows: Nov. 1 9 Borrowed money from the bank by issuing

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Selected transactions of Shadrach Computer Corporation during November and December of 2016 are as follows: Nov. 1 9 Borrowed money from the bank by issuing a non-interest-bearing, $40,000, 90-day note. The note is discounted on a 12% basis. Sold 100 computers with a 1-year assurance-type warranty for $5,000 each on credit (ignore cost of goods sold). Past experience indicates that warranty costs average $125 per computer. Sold 100 software packages at $300 each on credit (ignore cost of goods sold). With each software package, Shadrach offered a premium in the form of a USB drive for the return of one proof of purchase. The offer expires June 30, 2017. The cost of each USB drive is $5, and Shadrach estimates that 80% of the premiums will be redeemed; therefore, 80 USB drives were purchased on credit. 20 Paid $2,900 in fulfillment of the warranty agreement on several of the computers sold on November 9. 30 Accrued monthly vacation pay, Shadrach has 90 employees who are each paid an average of $160 per day. Shadrach has a policy of allowing each employee 12 days' paid vacation per year; the related liability is recorded on a monthly basis. Employees are paid monthly Paid monthly payroll. Gross salaries were $432,000. No vacations were taken during November. Income tax withholdings of 20% are applicable to the salaries of all employees. A F.I.C.A. tax of 8% for both employees and employers is also applicable. These rates apply to all salaries because no 30 employee's salary has exceeded the maximum wage limit. The state allows the corporation a 1% unemployment compensation merit-rating reduction from the normal rate of 5.4%. The federal unemployment rate is 0.6%. Prior to October, each individual employee had accumulated a gross salary in excess of $7,000 for 2016. Check My Work es and bonus for 2016 was $560,000. The bonus will be paid in January 2017 Required: Prepare journal entries to record the preceding transactions of Shadrach Computer Corporation for 2018. Include a calculations to the nearest dollar nd und Check My Work Prew Imantructor Save and SA 30 Comprehensive Instructions Chart of Accounts General Journal Instructions General Journal Shaded cells have feedback Prepare journal entries to record the November transactions of Shadrach Computer Corporation for 2016. Include year-end accruals. Round all calculations to the nearest dollar Additional Instructions How does grading work? PAGE 11 GENERAL JOURNAL Score: 236/287 DATE Nov. 1 POST. REF. CREDIT ACCOUNT TITLE Cash Discount on Notes Payable Notes Payable DEBIT 38,800.00 1.200.00 40,000.00 Check My Work Previous Prepare journal entries to record the December transactions of Shadrach Computer Corporation for 2016. Include year-end accruals. Round all calculations to the nearest do Additional Instructions Question not attempted. PAGE 12 GENERAL JOURNAL Score: 0/237 ACCOUNT TITLE POST. REF. DEBIT CREDIT Check My Work Previous Email Instructor Save and Exit Submit Assignment for Grading Selected transactions of Shadrach Computer Corporation during November and December of 2016 are as follows: Nov. 1 9 Borrowed money from the bank by issuing a non-interest-bearing, $40,000, 90-day note. The note is discounted on a 12% basis. Sold 100 computers with a 1-year assurance-type warranty for $5,000 each on credit (ignore cost of goods sold). Past experience indicates that warranty costs average $125 per computer. Sold 100 software packages at $300 each on credit (ignore cost of goods sold). With each software package, Shadrach offered a premium in the form of a USB drive for the return of one proof of purchase. The offer expires June 30, 2017. The cost of each USB drive is $5, and Shadrach estimates that 80% of the premiums will be redeemed; therefore, 80 USB drives were purchased on credit. 20 Paid $2,900 in fulfillment of the warranty agreement on several of the computers sold on November 9. 30 Accrued monthly vacation pay, Shadrach has 90 employees who are each paid an average of $160 per day. Shadrach has a policy of allowing each employee 12 days' paid vacation per year; the related liability is recorded on a monthly basis. Employees are paid monthly Paid monthly payroll. Gross salaries were $432,000. No vacations were taken during November. Income tax withholdings of 20% are applicable to the salaries of all employees. A F.I.C.A. tax of 8% for both employees and employers is also applicable. These rates apply to all salaries because no 30 employee's salary has exceeded the maximum wage limit. The state allows the corporation a 1% unemployment compensation merit-rating reduction from the normal rate of 5.4%. The federal unemployment rate is 0.6%. Prior to October, each individual employee had accumulated a gross salary in excess of $7,000 for 2016. Check My Work es and bonus for 2016 was $560,000. The bonus will be paid in January 2017 Required: Prepare journal entries to record the preceding transactions of Shadrach Computer Corporation for 2018. Include a calculations to the nearest dollar nd und Check My Work Prew Imantructor Save and SA 30 Comprehensive Instructions Chart of Accounts General Journal Instructions General Journal Shaded cells have feedback Prepare journal entries to record the November transactions of Shadrach Computer Corporation for 2016. Include year-end accruals. Round all calculations to the nearest dollar Additional Instructions How does grading work? PAGE 11 GENERAL JOURNAL Score: 236/287 DATE Nov. 1 POST. REF. CREDIT ACCOUNT TITLE Cash Discount on Notes Payable Notes Payable DEBIT 38,800.00 1.200.00 40,000.00 Check My Work Previous Prepare journal entries to record the December transactions of Shadrach Computer Corporation for 2016. Include year-end accruals. Round all calculations to the nearest do Additional Instructions Question not attempted. PAGE 12 GENERAL JOURNAL Score: 0/237 ACCOUNT TITLE POST. REF. DEBIT CREDIT Check My Work Previous Email Instructor Save and Exit Submit Assignment for Grading

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