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Sunland Company's balance sheet at December 31, 2021, is presented below. $8,160 Sunland Company Balance Sheet December 31, 2021 Cash $13,380 Accounts payable Accounts receivable

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Sunland Company's balance sheet at December 31, 2021, is presented below. $8,160 Sunland Company Balance Sheet December 31, 2021 Cash $13,380 Accounts payable Accounts receivable 19,800 Common stock Allowance for doubtful accounts (800) Retained earnings Inventory 9.550 $41,930 21,000 12,770 $41,930 During January 2022, the following transactions occurred. Sunland uses the perpetual inventory method. Jan. 1 Sunland accepted a 4-month, 8% note from Betheny Company in payment of Betheny's $3,600 account. 3 Sunland wrote off as uncollectible the accounts of Walter Corporation (5500) and Drake Company ($200). Sunland purchased $15,780 of inventory on account. 00 11 Sunland sold for $25.600 on account inventory that cost $16,550. 15 Sunland sold inventory that cost $650 to Jack Rice for $1.000. Rice charged this amount on his Visa First Bank card. The 81F 15 17 21 Sunland sold inventory that cost $650 to Jack Rice for $1,000. Rice charged this amount on his Visa First Bank card. The service fee charged Sunland by First Bank is 3%. Sunland collected $21,100 from customers on account: Sunland paid $15,360 on accounts payable. Sunland received payment in full ($200) from Drake Company on the account written off on January 3. Sunland purchased advertising supplies for $1.450 cash. Sunland paid other operating expenses. $3,230, 24 27 31 Adjustment data: 2. Interest is recorded for the month on the note from January 1. Bad debts are expected to be 6% of the January 31, 2022, accounts receivable. A count of advertising supplies on January 31, 2022, reveals that $550 remains unused. The income tax rate is 30%. (Hint: Prepare the income statement up to Income before taxes and multiply by 30% to compute the amount; round to whole dollars.) 3. 4. uestion 2 of 2 - /6 amount is entered. Do not indent manually. Record journal entries in the order presented in the problem) Date Account Titles and Explanation Debit Cre (To record sales revenues 81F Rain coming O (To record sales revenues.) (To record cost of goods sold.) c (To record sales revenues and service charges.) (To record cost of goods sold 81F Rain coming O E D ch - Project 2 part Question 2012 16 Mr.Com ar an come 6 uestion 2 of 2 - /6 s (To record cash received from Drake Company) (1) (2) (3) (4) 81F Rain coming O Question 2 of 2 -76 5 SUNLAND COMPANY Adjusted Trial Balance Debit Credit C Wor 3 Question 2 of 2 pe here to search o E ED Question 2 of 2 - 16 E $ e Textbook and Media List of Accounts x1 ch O 81F Rainc Question 2 of 2

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