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Backyard Technology Inc. (BTI) is a Sherbrooke retailer that sells commercial greenhouse kits. We are on March 2 and you are preparing the monthly financial statements for February 2021. Feb General Information: greenhouses are purchased from a local manufacturer that delivers the same day there are no particular credit terms with suppliers, except that they must be paid within 30 days BTI had 12 greenhouses on hand on February 1 at a unit cost of $11,800 BTI uses the weighted average method to account for its inventory and cost of goods sold BTI always mentions "FOB destination" when it ships goods to its customers the selling price for a greenhouse is fixed at $21,000 customers are offered 2/10 n/30 credit terms, counting from the date of the sale past experience shows that 2% of A/R past due between 0-30 days are uncollectible; the percentage is 8% for A/R past due between 31-60 days and 25% for A/R past due for more than 60 days. assume that no sales tax applies . Transactions of the month: Feb 2: BTI purchased 25 greenhouses from Supplier X at the cost of $12,000 each Feb 3: it received a check from Customer A to fully pay its due Feb 6: it sold 4 greenhouses to Customer D and delivered them on February 9 (credit sale) Feb 8: it paid accounts payable that were due on January 31 as well as the amount due to Supplier X Feb 9: it sold 15 greenhouses to Customer E and delivered them on February 11 Feb 10: it purchased 45 additional greenhouses from Supplier X at the cost of $12, 100 each Feb 19: it received a check from Customer D to fully pay its due Feb 26: it sold four greenhouses to Customer F and delivered them on March 6 (credit sale) Feb 28: it received a check from Customer E to fully pay its due Here is the Trial balance as at February 1, 2021: Cash 1,200,000 Accounts receivable 126,000 Allowance for doubtful accounts 5,040 Inventory 141,600 Accounts payable 98,200 Common shares 100,000 Retained earnings 1,264,360 Customer +60 days (25%) A/R Ledger and Aging Schedule as at January 31, 2021 Balance 0-30 days (2%) 31-60 days (8%) 21,000 21,000 42.000 42.000 63.000 63,000 A B Total A/R 126.000 84,000 42.000 0 AFDA 5,040 1.680 3.360 -0- . Requested: Update the A/R Ledger and aging schedule as at February 28, 2021 Provide the schedule for Inventory Record the transactions in the accounts, including closing Provide the Thal balance (before and after closing) Provide the monthly financial statements These tables are likely to be useful: Purchase Sale Inventory Date Units units Total cost Balance Units Total cost Average cost 11,800.00 Feb 1 141,600.0 0 12 Cash AFDA Accounts receivable Inventory Accounts payable 98,200 1,200,000 126,000 5,040 141,600 Common shares Retained earnings COGS Sales revenue Bad debt expense 100,000 1,264,360 Trial balance as at February 28, 2021 Before closing Accounts After closing Tral balance as at February 28, 2021 Before closing Accounts After closing Cash Accounts receivable Allowance for doubtful accounts Inventory Accounts payable Common shares Retained earnings Sales revenue COGS Bad debt expense Backyard Technology Inc. (BTI) is a Sherbrooke retailer that sells commercial greenhouse kits. We are on March 2 and you are preparing the monthly financial statements for February 2021. Feb General Information: greenhouses are purchased from a local manufacturer that delivers the same day there are no particular credit terms with suppliers, except that they must be paid within 30 days BTI had 12 greenhouses on hand on February 1 at a unit cost of $11,800 BTI uses the weighted average method to account for its inventory and cost of goods sold BTI always mentions "FOB destination" when it ships goods to its customers the selling price for a greenhouse is fixed at $21,000 customers are offered 2/10 n/30 credit terms, counting from the date of the sale past experience shows that 2% of A/R past due between 0-30 days are uncollectible; the percentage is 8% for A/R past due between 31-60 days and 25% for A/R past due for more than 60 days. assume that no sales tax applies . Transactions of the month: Feb 2: BTI purchased 25 greenhouses from Supplier X at the cost of $12,000 each Feb 3: it received a check from Customer A to fully pay its due Feb 6: it sold 4 greenhouses to Customer D and delivered them on February 9 (credit sale) Feb 8: it paid accounts payable that were due on January 31 as well as the amount due to Supplier X Feb 9: it sold 15 greenhouses to Customer E and delivered them on February 11 Feb 10: it purchased 45 additional greenhouses from Supplier X at the cost of $12, 100 each Feb 19: it received a check from Customer D to fully pay its due Feb 26: it sold four greenhouses to Customer F and delivered them on March 6 (credit sale) Feb 28: it received a check from Customer E to fully pay its due Here is the Trial balance as at February 1, 2021: Cash 1,200,000 Accounts receivable 126,000 Allowance for doubtful accounts 5,040 Inventory 141,600 Accounts payable 98,200 Common shares 100,000 Retained earnings 1,264,360 Customer +60 days (25%) A/R Ledger and Aging Schedule as at January 31, 2021 Balance 0-30 days (2%) 31-60 days (8%) 21,000 21,000 42.000 42.000 63.000 63,000 A B Total A/R 126.000 84,000 42.000 0 AFDA 5,040 1.680 3.360 -0- . Requested: Update the A/R Ledger and aging schedule as at February 28, 2021 Provide the schedule for Inventory Record the transactions in the accounts, including closing Provide the Thal balance (before and after closing) Provide the monthly financial statements These tables are likely to be useful: Purchase Sale Inventory Date Units units Total cost Balance Units Total cost Average cost 11,800.00 Feb 1 141,600.0 0 12 Cash AFDA Accounts receivable Inventory Accounts payable 98,200 1,200,000 126,000 5,040 141,600 Common shares Retained earnings COGS Sales revenue Bad debt expense 100,000 1,264,360 Trial balance as at February 28, 2021 Before closing Accounts After closing Tral balance as at February 28, 2021 Before closing Accounts After closing Cash Accounts receivable Allowance for doubtful accounts Inventory Accounts payable Common shares Retained earnings Sales revenue COGS Bad debt expense

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