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The Artisan Wines is a retail store selling vintage wines. On December 31, 2019, the firm's general ledger contained the accounts and balances below. All
The Artisan Wines is a retail store selling vintage wines. On December 31, 2019, the firm's general ledger contained the accounts and balances below. All account balances are normal Cash Accounts Receivable Prepaid Advertising Supplies Merchandise Inventory Store Equipment Accumulated Depreciation-Store Equipment Office Equipment Accumulated Depreciation-office Equipment Notes Payable, due 2020 Accounts Payable Wages Payable Social Security Tax Payable Medicare Tax Payable Unearned Seminar Fees Interest Payable Vincent Arroyo, Capital Vincent Arroyo, Drawing Income Summary Sales Sales Discounts Seminar Fee Income Purchases Purchases Returns and Allowances Freight In Rent Expense Wages Expense Payroll Taxes Expense Depreciation Expense-Store Equipment Depreciation Expense-Office Equipment Advertising Expense Supplies Expense Interest Expense $ 27,878 470 660 270 14,700 24,700 2,700 4,700 1,350 17,000 2,675 6,500 32,400 13,810 152,470 170 90,700 1,300 210 12,900 22,000 3,047 ADJUSTMENTS: a.-b. Merchandise inventory at December 31, 2019, was counted and determined to be $11,700 c. The amount recorded as prepaid advertising represents $660 paid on September 1, 2019, for 12 months of advertising d. The amount of supplies on hand at December 31 was $85 e. Depreciation on store equipment was $3,050 for 2019 f. Depreciation on office equipment was $925 for 2019 g. Unearned Seminar Fees represent $6,500 received on November 1, 2019, for five seminars. At December 31, four of these seminars had been conducted h. Wages owed but not paid at December 31 were $600 i. On December 31, 2019, the firm owed the employer's social security tax ($37.20) and Medicare tax ($8.70) j' The note payable bears interest at 6% per annum. One month's interest is owed at December 31, 2019
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