Below is the adjustments needed to be journalized. This is what I'm needing help with. Everything above it the information leading up. Information for year-end adjusting entries: On December 31, there are $800 of office supplies on hand • MUFC borrowed the $120,000 on July 1, 2022. MUFC must make annual interest payments each September 30 and pay the full note on September 30, 2025. The interest rate on the note is 7%. • Employees have earned $1,400 in wages for work done since the last payday (December 24) • The prepaid rent was paid on April 1, 2022, and covers a one-year period starting on April 1, 2022. • MUFC paid $2,100 for a one-year insurance policy on August 1, 2022. Coverage began on that date. • The Building has a twenty-five year useful life and a $10,000 salvage value. • The Equipment has an eight-year useful life and no salvage value. • MUFC uses straight-line to depreciate its plant assets. December utilities are $480 and will be paid in January • MUFC estimates its bad debts at 1% of its sales.
Below is the adjustments needed to be journalized. This is what I'm needing help with. Everything above it the information leading up. Information for year-end adjusting entries: On December 31, there are $800 of office supplies on hand • MUFC borrowed the $120,000 on July 1, 2022. MUFC must make annual interest payments each September 30 and pay the full note on September 30, 2025. The interest rate on the note is 7%. • Employees have earned $1,400 in wages for work done since the last payday (December 24) • The prepaid rent was paid on April 1, 2022, and covers a one-year period starting on April 1, 2022. • MUFC paid $2,100 for a one-year insurance policy on August 1, 2022. Coverage began on that date. • The Building has a twenty-five year useful life and a $10,000 salvage value. • The Equipment has an eight-year useful life and no salvage value. • MUFC uses straight-line to depreciate its plant assets. December utilities are $480 and will be paid in January • MUFC estimates its bad debts at 1% of its sales.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Please explain proper steps by Step and Do Not Give Solution In Image Format ? And Fast Answering Please ?
![Dec. 24: To record payment to workers for previous two weeks work
Debit Wages Expense for $4,200
Credit Cash for $4,200
Dec 26: To record purchase of inventory from KP Company with 2/15, n/30 terms
Debit Inventory for $6,860
Credit Accounts Payable for $6,860
Dec 28: To record sale of merchandise to MF Company for $8,000 cash
Debit Cash for $8,000
Credit Sales Revenue for $8,000
Debit Cost of Goods Sold for $5,900
Credit Inventory for $5,900
Dec 29: To record purchase of office supplies for cash
Debit Office Supplies for $600
Credit Cash for $600
Dec 29: To record receipt of payment from AW Company for sale of merchandise with 2/10, n/30
terms
Debit Cash for $2,450 ([$2,500 - ($2,500 * 0.02)])
Credit Accounts Receivable for $2,500
Dec 30: To record sale of merchandise to APC Company on account with 3/15, n/45 terms
Debit Accounts Receivable for $9,700 ([$10,000 - ($10,000 * 0.03)])
Credit Sales Revenue for $10,000
Debit Cost of Goods Sold for $7,500
Credit Inventory for $7,500
Dec 30: To record writing off WHY Company's account as uncollectible
Debit Bad Debt Expense for $3,000
Credit Accounts Receivable for $3,000
Dec 31: To record purchase of merchandise inventory from MSPC Company with 2/10, n/45 terms
Debit Inventory for $8,820 ([$9,000 - ($9,000*0.02)])
Credit Accounts Payable for$8,820
Show Transcribed Text
Below is the adjustments needed to be journalized. This is what I'm needing help with. Everything above it the
information leading up.
Information for year-end adjusting entries:
Ċ
On December 31, there are $800 of office supplies on hand
• MUFC borrowed the $120,000 on July 1, 2022. MUFC must make annual
interest payments each September 30 and pay the full note on September
30, 2025. The interest rate on the note is 7%.
• Employees have earned $1,400 in wages for work done since the last
payday (December 24)
• The prepaid rent was paid on April 1, 2022, and covers a one-year period
starting on April 1, 2022.
MUFC paid $2,100 for a one-year insurance policy on August 1, 2022.
Coverage began on that date.
• The Building has a twenty-five year useful life and a $10,000 salvage value.
● The Equipment has an eight-year useful life and no salvage value.
MUFC uses straight-line to depreciate its plant assets.
December utilities are $480 and will be paid in January
● MUFC estimates its bad debts at 1% of its sales.
●](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F4372ec4d-b133-43db-9782-a231351f841b%2F304ce302-772d-4b09-a5b0-d493ce0989ab%2Fs72jnrk_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Dec. 24: To record payment to workers for previous two weeks work
Debit Wages Expense for $4,200
Credit Cash for $4,200
Dec 26: To record purchase of inventory from KP Company with 2/15, n/30 terms
Debit Inventory for $6,860
Credit Accounts Payable for $6,860
Dec 28: To record sale of merchandise to MF Company for $8,000 cash
Debit Cash for $8,000
Credit Sales Revenue for $8,000
Debit Cost of Goods Sold for $5,900
Credit Inventory for $5,900
Dec 29: To record purchase of office supplies for cash
Debit Office Supplies for $600
Credit Cash for $600
Dec 29: To record receipt of payment from AW Company for sale of merchandise with 2/10, n/30
terms
Debit Cash for $2,450 ([$2,500 - ($2,500 * 0.02)])
Credit Accounts Receivable for $2,500
Dec 30: To record sale of merchandise to APC Company on account with 3/15, n/45 terms
Debit Accounts Receivable for $9,700 ([$10,000 - ($10,000 * 0.03)])
Credit Sales Revenue for $10,000
Debit Cost of Goods Sold for $7,500
Credit Inventory for $7,500
Dec 30: To record writing off WHY Company's account as uncollectible
Debit Bad Debt Expense for $3,000
Credit Accounts Receivable for $3,000
Dec 31: To record purchase of merchandise inventory from MSPC Company with 2/10, n/45 terms
Debit Inventory for $8,820 ([$9,000 - ($9,000*0.02)])
Credit Accounts Payable for$8,820
Show Transcribed Text
Below is the adjustments needed to be journalized. This is what I'm needing help with. Everything above it the
information leading up.
Information for year-end adjusting entries:
Ċ
On December 31, there are $800 of office supplies on hand
• MUFC borrowed the $120,000 on July 1, 2022. MUFC must make annual
interest payments each September 30 and pay the full note on September
30, 2025. The interest rate on the note is 7%.
• Employees have earned $1,400 in wages for work done since the last
payday (December 24)
• The prepaid rent was paid on April 1, 2022, and covers a one-year period
starting on April 1, 2022.
MUFC paid $2,100 for a one-year insurance policy on August 1, 2022.
Coverage began on that date.
• The Building has a twenty-five year useful life and a $10,000 salvage value.
● The Equipment has an eight-year useful life and no salvage value.
MUFC uses straight-line to depreciate its plant assets.
December utilities are $480 and will be paid in January
● MUFC estimates its bad debts at 1% of its sales.
●

Transcribed Image Text:I
I
Acct #
101 Cash
Account
102 Accounts Receivable
103 Allowance for Bad Debts
104 Merchandise Inventory
105 Office Supplies
106 Prepaid Rent
107 Prepaid Insurance
110 Land
111 Building
112 Accumulated Depreciation - Building
115 Equipment
116 Accumulated Depreciation - Equipment
201 Accounts Payable
202 Wages Payable
203 Interest Payable
205 Utilities Payable
210 Notes Payable
301 Common Stock
302 Retained Earnings
305 Dividends
401 Sales
402 Sales Discount Forfeited
501 Cost of Goods Sold
502 Wages Expense
503 Rent Expense
504 Utilities Expense
505 Depreciation Expense
506 Interest Expense
507 Supplies Expense
508 Bad Debt Expense
509 Insurance Expense
Show Transcribed Text
Trial Balance
December 23,2022
Totals
Remaining December transactions:
Dec. 24
Dec 26
Dec 28
Dec 30
Dec 29
Dec 29
Dec 30
Dec 31
с
Debit
29,800
32,510
S
35,200
2,400
3,600
2,100
50,000
280,000
96,000
5,500
370,000
78,000
3,800
4,700
D
Credit
Ć
2,800
56,000
39,000
26,610
120,000
200,000
53,100
993,610 993,610
495,000
1,100
Paid employees for the previous two weeks work, $4,200
Paid $6,860 to CP Company for inventory purchased on December
15, the inventory had a list price of $7,000 and the terms were 2/15,
n/30
Sold merchandise to NF Company for $8,000 cash. The merchandise
cost $5,900.
Purchased $600 of office supplies for cash
Received payment from AV Company for sale of merchandise on
December 16. The sales price was $2,500 and the terms were 2/10,
n/30.
Sold merchandise to AFC Company for $10,000 on account. The
terms are 3/15, n/45. The merchandise cost $7,500.
Wrote off WHU Company's account as uncollectible. The sale to
WHU occurred on June 20, 2022. The amount of the sale was $3,000
and the terms were n/30.
Purchased $9,000 of merchandise inventory from MCFC Company.
The terms are 2/10, n/45.
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