UNLESTIJELT Question 1 of 1 0/1 IIT View Policies Show Attempt History Current Attempt in Progress Wildhorse Corporation's balance sheet at December 31, 2021. is presented below. WILDHORSE CORPORATION Balance Sheet December 31, 2021 Cash $29.800 Accounts payable $14.200 Inventory 25.600 Interest payable 2,300 Prepaid insurance 5.700 Bonds payable 46,000 Equipment 43.300 Common stock 21.000 Retained earnings 20,900 $104.400 $104,400 Durin 2022, the following transactions occurred. Wildhorse uses a perpetual inventory system 1. Wildhorse paid $2,300 interest on the bonds on January 1, 2022 2 Wildhorse purchased $240,900 of inventory on account. 3. Wildhorse sold for $450,000 cash inventory which cost $250.500. Wildhorse also collected $27.000 sales taxes Wildhorse paid $230,300 on accounts payable 4 Question 1 of 1 0/1 E $104.900 3109.400 During 2022, the following transactions occurred. Wildhorse uses a perpetual inventory system 1. 2. 3. 4. 5. 6. Wildhorse pald $2,300 interest on the bonds on January 1, 2022. Wildhorse purchased $240,900 of inventory on account Wildhorse sold for $450,000 cash inventory which cost $250,500 Wildhorse also collected $27,000 sales taxes. Wildhorse paid $230,300 on accounts payable. The prepaid insurance ($5,700) expired on July 31. On August 1. Wildhorse paid $13,200 for insurance coverage from August 1, 2022, through July 31, 2023. Wildhorse paid 522,000 sales taxes to the state Paid other operating expenses. $94,600. Redeemed the bonds on December 31, 2022. by paying $44.160 plus $2,300 interest. Issued $94,300 of 8% bonds on December 31, 2022, at 103. The bonds pay interest every June 30 and December 31. 7. 8. 9. 10. Adjustment dato: 1. Recorded the insurance expired from item 6. 2 The equipment was acquired on December 31, 2021, and will be depreciated on a straight-line basis over 5 years with a $3,300 salvage value. MacBook Air Prepare journal entries for the transactions listed above. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. If no entry is required, select "No entry" for the account titles and enter o for the amounts.) No. Account Titles and Explanation Debit Credit 1. 2. 3. LIGJIT (To record sales revenue.) (To record cost of goods sold.) GA w UNT PROJECT 071 Question of Tacord con el goods) DUOME HOME 2 7 8 0 0 w (To record payment of bond interest) (To record redemption of bonds) 10. repare the adjusting entries. (Credit account titles are automatically indented when the amount is entered. Do not dent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. If no er required, select "No entry" for the account titles and enter 0 for the amounts.) Ho. Account Titles and Explanation Debit Credit 1. 5 C D www www UNT PROJECT Question 1 of 1 071 E Protherm Creditcantities are automatically indeed when the amunt is entered. Do not Indent may nombre "Nery for the countries and enter for the amounty detentry for the countries and enter for the mounts) No Account Titles and Explanation Debit Credit 1 1 Text Me of Account 2 3 5 6 7 8 9 E R Y U 1
