You are the controller at Star Wars, Inc. you must Create Journal Entries for the following transactions.

On Dec. 1 Paid off balance of $45,800 owed to Ewok Inc. No discount applies.

On Dec. 1 Sold 275 units to Storm Troopers Unlimited on account for $805 each.

On Dec. 2 Received a check in the amount of $23,569 from Jango Fett Inc. in full payment of an invoice dated November 27 in the amount of $24,050.

On Dec. 2 Paid bill of $3,275 to Star Destroyer Repairs in payment of fighter repairs. No impact on A/P ledger.

On Dec. 3 Sold 225 units to Vader Enterprises on account for $807 each.

On Dec. 3 Paid Greedo Inc. $59,420 in full payment of an A/P balance

On Dec. 6 Purchased 515 units from Calrisian's Components on account for $365 each, terms net/45

On Dec. 6 Paid $65,471 to Wamp Rat, Co. in full payment of the invoice from Nov.

On Dec. 6 Received a notification that Bosk Co. has declared bankruptcy and collection of the amounts Bosk Co. owes is unlikely. The accounts receivable balance should be written off.

On Dec. 7 Received a check in the amount of $52,000 from R2D2 Computers in partial payment of the balance they owe (no discounts apply) from a Nov. 15 sale of $95,900

On Dec. 7 Received a check in the amount of $49,294 from C3PO Co. in full payment of a sales invoice dated Nov. 27 for $50,300.

On Dec. 7 Sold 165 units to Jango Fett, Inc. on account for the amount of $811 each.

On Dec. 9 Received payment of $72,863 from Jabba's Huts, Inc. in full payment of an invoice dated Nov. 30 for $74,350.

On Dec. 9 Sold 310 units to Wookie Inc. on account for $813 each.

On Dec. 10 Paid $3,520 for special effects consulting. Use misc. expenses.

On Dec. 10 Purchased 430 units from Land Speeder, Inc. on account for $369 each, terms n/30

On Dec. 11

Paid bi-weekly wages via payroll checks. The payroll summary is below:

Employee wages (gross) $5,510 FICA taxes withheld 422 Federal income taxes withheld 1010 State income taxes withheld 260 Net pay $3,818

Employer's payroll taxes: FICA tax $422 (no FUTA or SUTA)

On Dec. 11 Received payment of $22,000 from C3PO Co. in full payment for an invoice dated Nov. 14th. No discount applies.

On Dec. 11 Sold 325 units to Princess Leia Co. for a total of $817 each on account.

On Dec. 12 Sold 145 units to R2D2 Computers on credit for $818 each.

On Dec. 12 Paid invoice dated Nov. 12 in the amount of $37,829 (no discounts apply). The supplier was Count Dooku Consulting.

On Dec. 12 Paid $75,250 to Ewok Inc. for an invoice dated Nov. 28.

On Dec. 13 Received payment from Endor Limited for an invoice dated November 15th in the amount of $27,120.

On Dec. 13 Sold 280 units to Vader Enterprises on account for $820 each.

On Dec. 14 Received payment from Jango Fett Inc. from the Dec. 7th sale. Fett Inc. qualifies for the discount.

On Dec. 14 Storm Troopers Unlimited receives a sales allowance for $30,000 for damaged units. This relates to the Dec. 1 sale.

On Dec. 15 Received payment from Wookie Inc. for the Dec. 9 sale, net of the discount.

On dec. 17 Paid off purchase from Dec. 10 to Land Speeder Inc.

On dec. 17 Yoda, Inc. agrees to convert its overdue $20,000 A/R balance into a 12% note due in 10 months. Decrease A/R and increase notes receivable.

On dec. 18 Purchased a new supercomputer from Palpatine Computing Co. for $45,000. A down payment of $5,000 was paid immediately, the remainder is owed within 45 days (n/45). Use the equipment account.

On dec. 18 Purchased 450 units of product from Tattooine Ltd. For $379 each on credit, terms n/60

On dec. 19 Purchased 125 units from Tattooine Inc. for $380 each on credit, terms n/60

On dec. 20 Cash sales for 355 units was $820 each.

On dec. 20 Paid $2,177 telephone bill. Use Misc. expenses.

On dec. 20 Received payment from Princess Leia Co. from the Dec. 11 sale.

On dec. 20 Paid Federal withholding taxes of $13,521, and FICA withholdings of $3,825 to the US Treasury Department. These amounts were previously recorded as liabilities. The amounts were paid with one check.

On dec. 21 Sold Storm Troopers Unlimited 380 units of product for $828 per unit on credit.

On dec. 21 An uninhabited moon orbiting the planet of Star Wars, Inc.'s headquarters is acquired by issuing 25,000 shares of unissued common stock. The moon has a fair value of $1,200,000. The moon is immediately used for operations. The moon is considered land.

On dec. 21 A bill from Han Solo, Esquire is received for legal services performed related to the acquisition of the moon. The total of the bill is $13,000 and is paid immediately. The legal services were required to acquire the moon.

On dec. 24 Purchased office supplies from Naboo Stationery Co. for $5,112 in cash. Treat the supplies as an asset.

On dec. 24 Purchased 230 units of inventory from Calrisian's Components for $395 each on credit, terms net/45

On dec. 26 Sold 255 units of product to Jango Fett, Inc. for $840 each on credit.

On dec. 26 R2D2 Computers agrees to convert a $43,900 overdue A/R balance into a 13% note due in 6 months. The original sale was from a Nov. 15 sale. Previously, R2D2 paid $52,000 of the balance off. Increase notes receivable and decrease A/R.

On dec. 26 Paid $3,375 for postage costs. Use misc. expenses.

On dec. 27 Paid bi-weekly wages via payroll checks. The payroll summary is below:

Employee wages (gross) $6,120

FICA taxes withheld 468

Federal income taxes withheld 1,567

State income taxes withheld 355

Net pay $3,730

Employer's payroll taxes (use payroll tax expense):

FICA tax $468

(no FUTA or SUTA)

On dec. 27 Star Wars, Inc. repurchases 3,000 shares of its own stock from an investor for $45 per share. The repurchase is recorded as Treasury Stock at its repurchase cost.

On dec. 27 Paid $15,500 for ordinary repairs and maintenance on star ships.

On dec. 28 Star Wars, Inc. sold a used Star Destroyer to Chewbacca and Sons Co. for $75,100 cash. The original cost of the Star Destroyer was $200,000 with a salvage value of $25,000, a useful life of 10 years, and accumulated depreciation of $100,000 through the end of last fiscal year. Note: you will need to record 1/2's years depreciation for this year before recording the sale (the company policy is to depreciate assets for 1/2 year in the year of acquisition and disposal). Star Wars, Inc. uses the straight-line method to depreciate Star Destroyers.

Note: record depreciation expense first, then the disposal.

On dec. 28 Paid the A/P balance to Tattoine Inc from the 12/19 purchase. No discount applies.

On dec. 28 The Board of Directors of Star Wars Inc. declares a $3.25 per share cash dividend to be paid in January of the next year. You will need to determine the number of shares outstanding. See instructions for the beginning amount and don't forget to take into account previous transactions involving new shares issued and repurchased shares. Take the amount directly out of retained earnings.

On dec. 28 Paid bill for advertisements run on Dec. 15th. The bill was for $18,150.

On dec. 28 Received payment from Vader Enterprises from the Dec. 13 sale. No discount applies.

On dec. 30 Purchased 315 units of product from Hyperspace Unlimited for $387 per unit on credit, terms n/30.

On dec. 31 Paid monthly salaries via payroll checks. The payroll summary is below:

Employee salaries (gross) $63,300

FICA taxes withheld 4,842

Federal income taxes withheld 9,154

State income taxes withheld 2,317

Net pay $46,987

Employer's payroll taxes:

FICA tax $4,842

(no FUTA or SUTA)

On dec. 31 Sold 310 units to Vader Enterprises for $850 each on credit.

on dec. 31 The petty cash custodian performs the month-end reconciliation and totals the receipts as follows:

Postage stamps used $58

Courier costs $73

Company lunch costs $61

Office decorations $30

$68 of cash remained on hand. Record the entry to reimburse the petty cash fund. Book any overage or shortage to Petty Cash Overage/Shortage. Use Misc. expense for all costs noted above.

on dec. 31 Deposited $40,000 in a bond sinking fund (related to paying back bonds payable). Use the Other assets account for the debit.

Record the journal entry to increase the petty cash fund to $500 from $300. Need to reclassify cash into petty cash.