ACC 291 Week 4 Practice Connect Assignment (100% Score) To Purchase This Material Click below Link Click Here to Buy the Tutorial https://sellfy.com/p/NtiG/
The Green Thumb Gardener
Merchandise inventory on December 31, 2019, is $11,521.
During 2019, the firm had net credit sales of $27,000; the firm estimates that 0.6 percent of these sales will result in uncollectible accounts.
On December 31, 2019, an inventory of the supplies showed that items costing $235 were on hand.
On October 1, 2019, the firm signed a six-month advertising contract for $960 with a local newspaper and paid the full amount in advance.
On January 2, 2018, the firm purchased store equipment for $7,620. At that time, the equipment was estimated to have a useful life of five years and a salvage value of $520.
On January 2, 2018, the firm purchased office equipment for $1,120. At that time, the equipment was estimated to have a useful life of five years and a salvage value of $120.
On December 31, 2019, the firm owed salaries of $1,750 that will not be paid until 2020.
On December 31, 2019, the firm owed the employerâ€™s social security tax (assume 6.2 percent) and Medicare tax (assume 1.45 percent) on the entire $1,750 of accrued wages.
On December 31, 2019, the firm owed federal unemployment tax (assume 0.6 percent) and state unemployment tax (assume 5.4 percent) on the entire $1,750 of accrued wages.
Assignment 2 TRANSACTIONS Signed a lease for an office and issued Check 101 for $14,100 to pay the rent in advance for six months.
Borrowed money from Second National Bank by issuing a four-month, 12 percent note for $32,800; received $31,488 because the bank deducted the interest in advance.
Signed an agreement with Carter Corp. to provide accounting and tax services for one year at $6,600 per month; received the entire fee of $79,200 in advance.
Purchased office equipment for $26,400 from Office Outfitters; issued a two-month, 6 percent note in payment. The equipment is estimated to have a useful life of six years and a $1,920 salvage value. The equipment will be depreciated using the straight-line method.
Purchased a one-year insurance policy and issued Check 102 for $1,692 to pay the entire premium.
Purchased office furniture for $18,400 from Furniture Warehouse; issued Check 103 for $10,400 and agreed to pay the balance in 60 days. The equipment has an estimated useful life of five years and a $1,000 salvage value. The office furniture will be depreciated using the straight-line method.
Purchased office supplies for $1,930 with Check 104. Assume $860 of supplies are on hand July 31, 2019.