Unearned Revenue and Customer Deposits Instructions Chart of Accounts General Journal Final Questions 0 Instructions On December 10, 2019, Kool-Air Solutions agreed to manufacture and supply 785 refrigerators used by Vandelay Industries. Vandelay deposited $155 per unit upon signing the 3-year purchase agreement, which set the selling price of each retrigerator at $075. Kool-Air's inventory cost is $470 per unit. No units were delivered during 2019. During 2020, 170 units will be delivered during 2021, 330 units will be delivered; and during 2022, the remaining units will be delivered. Assume Kool-Air uses a perpetual inventory system and Vandelay pays in cash upon delivery of units for amounts not covered by the deposit Required: 1. Conceptual Connection: Prepare the entry by Kool Air to record recept of the deposit during 2019. How would the deposit be reported in the financial statements at the end of 2019? 2. Conceptual Connection: Prepare the entry by Kool Air to record the delivery of 170 units during 2020. How would the deposit be reported in the financial statements at the end of 2020? 3. Prepare the entry by Kool Air to record the delivery of 330 units during 2021 Chart of Accounts CHART OF ACCOUNTS Kool-Air Solutions General Ledger ASSETS REVENUE 411 Sales Revenue 412 Service Revenue 413 Interest Income 414 Rent Revenue 111 Cash 112 Petty Cash 121 Accounts Receivable 123 Allowance for Doubtful Accounts 124 Notes Receivable 125 Supplies 126 Prepaid Insurance 127 Prepaid Rent 128 Inventory 129 Interest Receivable 130 Investment EXPENSES 511 Cost of Goods Sold 512 Advertising Expense 513 Supplies Expense 514 Utilities Expense 515 Insurance Expense 516 Repairs and Maintenance Expense 517 Bad Debt Expense 518 Rent Expense 131 Land 132 Buildings 133 Equipment 134 Fumi 519 Warranty Expense 134 Furniture 135 Trucks 139 Accumulated Depreciation 519 Warranty Expense 521 Wages Expense 523 Commissions Expense 524 Social Security Taxes Expense 525 Medicare Taxes Expense 526 Federal Unemployment Taxes Expense 527 State Unemployment Taxes Expense 531 Interest Expense 541 Amortization Expense 542 Depreciation Expense 551 Income Taxes Expense 562 Property Taxes Expense LIABILITIES 211 Accounts Payable 212 Utilities Payable 213 Insurance Payable 214 Interest Payable 215 Warranty Liability 216 Income Taxes Payable 221 Excise Taxes Payable (Federal) 222 Excise Taxes Payable (State) 223 Property Taxes Payable 224 Sales Taxos Payable (State) 231 Wages Payable 233 Commissions Payable 234 Federal Income Taxes Withholding Payable 235 State Income Taxes Withholding Payable 236 Social Security Taxes Payable 237 Medicare Taxes Payable 231 Wages Payable 233 Commissions Payable 234 Federal Income Taxes Withholding Payable 235 State Income Taxes Withholding Payable 236 Social Security Taxes Payable 237 Medicare Taxes Payable 238 Charitable Contributions Payable 239 Union Dues Payable 241 Federal Unemployment Taxes Payable 242 State Unemployment Taxes Payable 251 Unearned Sales Revenue 252 Uneared Rent Revenue 261 Bonds Payable 262 Notes Payable EQUITY 311 Common Stock 321 Retained Earnings 331 Dividends GENERAL JOURNAL PAGE: IMPACT ON FINANCIAL STATEMENTS BALANCE SHEET INCOME STATEMENT DATE ACCOUNT TITLE POL DEBT 1 CREDIT ASSETS LABUITIES EQUITY REVENUE NET INCOME 2 Conceptual Connection: Prepare the entry by Koorecord the detary of December 31, 2000 GES GENERAL JOURNAL MARCTON FINANCIAL STATEMENTS BALANCE SHEET INCOME STATEMENT ACCOUNT ME POST DET CREDIT EQUITY NET INCOME 3. Prepare the only by Kool Ar to record the delivery of 330 units on December 31, 2021 IMAGES GENERAL JOURNAL PACT ON FINANCIAL STATEMENTS BALANCE SHEET INCOME STATEMENT ACCOUNT TITLE POST REE 1 LES EQUITY REVENUE EPOSES MIT INCOME
