Knockoff Corporation sells a videogame unit known as the Gii. During the month of December, the following events occur. Prepare any necessary journal entries and adjusting entries that Knockoff should record. a. Knockoff purchased $300,000 of inventory on account. b. The company incurs salary expense of $45,000, although employees will not be paid until the beginning of January. The company also owes an additional $7,000 to the government for payroll taxes. c. Knockoff determines that it owes the IRS $120,000 in income taxes for this year. d. A retail customer places an advance order for Giis and pays Knockoff $23,000. The Giis will be shipped in January. e. Knockoff owes a local bank $4,000 in interest on a loan. f. Knockoff rents a warehouse of $3,000 per week. No payments were made for the last three weeks of the year. Do not give answer in image formate
Knockoff Corporation sells a videogame unit known as the Gii. During the month of December, the following events occur. Prepare any necessary
a. Knockoff purchased $300,000 of inventory on account.
b. The company incurs salary expense of $45,000, although employees will not be paid until the
beginning of January. The company also owes an additional $7,000 to the government for payroll
taxes.
c. Knockoff determines that it owes the IRS $120,000 in income taxes for this year.
d. A retail customer places an advance order for Giis and pays Knockoff $23,000. The Giis will be
shipped in January.
e. Knockoff owes a local bank $4,000 in interest on a loan.
f. Knockoff rents a warehouse of $3,000 per week. No payments were made for the last three weeks
of the year.
Do not give answer in image formate
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