Yes Market, in its mission to simplify student life, has been working on a "Brain Charge Pillow", a product allowing students to absorb study material during sleep. Recently, they discovered a similar device patented by an American company, Seeple. The product, named Boxes Dream, made Yes Market reconsider its development efforts, and it has now decided to sell the Seeple product instead.

To market Boxes Dream, Yes Market has leased an additional storefront in Sunshine for 12 months, starting 1 May 202x. Rent, at $4,000 monthly, must be prepaid in full for the contract duration on 1 May.

Simultaneously, Yes Market has hired a University student, Rose Dawson, to manage an Boxes Dream fan site on Facebook. Rose will work three hours daily (all week), beginning 1 May. Her wage is $30 per hour, to be paid on 5 June for her May work.

The new store's furniture, including a large bed for testing Boxes Dream, is designed in Shanghai and made in Melbourne. The bed was delivered on 1 June, with a $50,000 invoice from the Melbourne manufacturer and a $10,000 invoice from the Shanghai designers. Yes, Market's sales director approved the bed's final design during a business trip to Melbourne. The directors trip, costing $2,500 (including an additional taxi fare to the manufacturer), is payable on 15 July.

On 1 June, Yes Market ordered 30 Boxes Dream units from Seeple at $800 each, paid on 20 June.

The subsequent transactions occur:

• University buys ten Boxes Dream units for the library at $1,500 per unit on credit on 10 June, paying on 15 June after a 10% early payment discount.
• On 17 June, the University returned two damaged Boxes Dream units. Yes, Market updates the University's invoice and destroys the damaged units.
• On 18 June, Yes Market ordered another 60 Boxes Dream units from Seeple at a special price of $650 each. Payment is made two days later.
• On 20 June, Universal College purchased ten Boxes Dream units from Yes Market for $1,600 per unit, making the payment on the same day. Yes, Market offers Universal College a 5% trade discount for this transaction.

On 1 July 202x, Yes Market leased a company car for the service department of the new store (called the Nerd Herd). The duration of the lease is five years, and the car has an expected useful life of 8 years. The lease contract requires Yes Market to pay $10,000 (via bank transfer) on 30 June of each year during the lease period. The lease contract states that Yes Market may cancel the lease once the contract is signed, but Yes Market will have to pay a transaction fee of $100 if the lease is cancelled before the end of the contract. Yes, Market can purchase the car for $10,000 at the end of the lease period. The vehicle is expected to have a fair value of $5,000. Yes, the Market can exercise the purchase option. The interest rate in the lease is 12%. Yes Market decided to enter into the lease agreement instead of purchasing the car because the purchase price would have been $41,000, and Yes Market did not have sufficient cash resources to make such a purchase then.

Please answer the following questions about the scenario outlined above:

Question 1) Provide all journal entries necessary in the books of Yes Market to account for the signing of the renting contract, the payment of rent for the duration of the agreement, and the incurrence of rent for May and June.

Question 2) Provide all journal entries necessary for the books of Yes Market to account for the wages of Rose Dawson between 1 May 202x and the end of that month, as well as the payment of salaries on 5 June 20x.

Question 3) Provide a detailed explanation of whether or not the expenditures associated with the directors trip to Melbourne are part of the cost of the bed, and calculate the cost of the bed

Question 4) Provide all journal entries that are necessary in the books of Yes Market to account for all inventory purchase and sales transactions (including the payment and receipt of funds) of the new store, assuming that Yes Market uses a PERPETUAL INVENTORY SYSTEM and the First-in first-out flow assumption

Question 5) Using the information outlined in this assignment question, calculate the total Cost of Goods Sold (COGS) for the financial year ended 30 June 20x1, the value of all Boxes Dream that remain in the inventory account (including any adjustments for relevant freight and discounts (if any exist)) at the end of the year (the 30 June 202x), and the total amount of revenue that Large Mark collected through the sale of the Boxes Dream during the year ended 30 June 202x AND provide a detailed outline of all necessary calculations.

Question 6) Determine if the lessor will have to account for the outlined car lease as an operating or a finance lease, AND provide a detailed explanation for your decision.