The following are selected transactions of Riverbed Department Store Ltd$.($RDSL$)$ for the current year ended December $31.$ RDSL is a

private company operating in the province of Manitoba, where PST is $7\%$ and GST is $5\%.$ RDSL follows ASPE and has a periodic

inventory system.

On February $2,$ RDSL placed an order to buy goods for resale from Hashmani Limited for $$56,000$ plus GST$.$ Terms of

purchase are f$.$o$.$b$.$ destination, net $15.$ The goods arrived February $6$ and the invoice was paid on February $20.($Hint:

Inventory for resale is purchased PST$-$exempt.$)$

On April $1,$ RDSL purchased a truck for $$35,000$ from Schuler Motors Limited, paying $$7,700$ cash and signing a one$-$year,

$8\%$ note for the balance of the purchase price. Provincial sales tax of $7\%$ and GST of $5\%$ were charged by the supplier on the

purchase price.

On May $1,$ RDSL borrowed $$75,000$ from First Provincial Bank by signing a $$80,100$ non$-$interest$-$bearing note due one

year from May $1.$

On June $30$ and December $31,$ RDSL remitted cheques for $$18,800$ each as instalments on its current year tax liability.

On August $14,$ RDSL$\text{'}$s board of directors declared a $$13,000$ cash dividend that was payable on September $10$ to

shareholders of record on August $31.$

On December $5,$ RDSL received $$1,400$ from Jefferson Ltd$.$ as a deposit on a trailer that Jefferson is using for an office move.

The deposit is to be returned to Jefferson after it returns the trailer in good condition on January $15.($Hint: Use the account

Refund Liability.$)$

On December $10,$ RDSL purchased new furniture and fixtures for $$10,000$ on account. Provincial sales tax of $7\%$ and GST of

$5\%$ were charged by the supplier on the purchase price.

During December, cash sales of $$83,000$ were recorded, plus $7\%$ provincial sales tax and $5\%$ GST that must be remitted by

the $15$th day of the following month. Both taxes are levied on the sale amount to the customer. Ignore any cost of goods sold.

RDSL$\text{'}$s lease for its store premises calls for a $$3,600$ monthly rental payment plus $3\%$ of net sales. The payment is due one

week after month end.