Thank you for the answer. However, un sure what portion are notes and what portion I need to adjust on the trial balance sheet portion of the ACC 309 Milestone One.

1. Impact on Earnings Per Share for each option:

a. Issuing additional 10,000 shares, EPS= $600,000/10,000 = $6 per share

b. Issuing 8% bonds. Income after debt interest= $600,000 -$80,000= $540,000 will be available for existing shareholders

c. Equally both, EPS = $540,000/5,000 = $10.80 per share

2. Plan Assets A/c Dr. $107,041.70

To Defined Pension Obligation A/c $107,041.70

Health Insurance Exp. A/c Dr $43,718.91

To Health Insurance Liability A/c $43,718.91

3. Journal Entry in books of Lessee:

Lease Asset A/c Dr. $101,513.84

To Lease Liability A/c $101,513.84

(Amount equal to present value of lease payments)

4. Equipment A/c Dr. $27,000

To Payable A/c $27,000

Patent A/c Dr. $50,000

To Miscellaneous Expense A/c $50,000

5. Unrealized Loss on Marketable Securities A/c Dr. $165,000

To Marketable Securities A/c $165,000

6. Income Statement Dr. $1,500

To Meal and Entertainment Expenses $1,500

Deferred Tax A/c Dr $52,325.25

To Federal Income Tax $41,860.20

To State Income Tax $10,465.05