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I got 3, 8 , 9 and 13 wrong.

View transaction list View journal entry worksheet No General Journal Debit Credit Event 01 1 31,000 Cash Common stock 31,000 2 02 141,000 Merchandise inventory Accounts payable 141,000 3 174,500 Cash Sales tax payable Sales revenue 12,215 162,285 4 3b 107,500 Cost of goods sold Merchandise inventory 107,500 5 04 24,000 Cash Notes payable 24,000 6 05 141,000 Accounts payable Cash 141,000 7 06 10,045 Sales tax payable Cash 10,045 07 30,000 Salaries expense FICA tax - Social Security tax payable FICA tax - Medicare tax payable Salaries payable 1,800 450 27,750 9 08 2,600 Warranty expense Cash 2,600 10 09 11,500 Other operating expenses Cash 11,500 11 10 5,200 Dividends Cash 5,200 12 11 6,980 Warranty expense Warranties payable 6,980 13 12 1,400 Interest expense Interest payable 1,400 14 13 No journal entry required 5 Required information 3 (The following information applies to the questions displayed below.] The following transactions apply to Park Co. for Year 1: 1. Received $31,000 cash from the issue of common stock. 2. Purchased inventory on account for $141,000. 3. Sold inventory for $174,500 cash that had cost $107,500. Sales tax was collected at the rate of 7 percent on the inventory sold. 4. Borrowed $24,000 from First State Bank on March 1, Year 1. The note had a 7 percent interest rate and a one-year term to maturity. 5. Paid the accounts payable (see transaction 2). 6. Paid the sales tax due on $143,500 of sales. Sales tax on the other $31,000 is not due until after the end of the year. 7. Salaries for the year for the one employee amounted to $30,000. Assume the Social Security tax rate is 6 percent and the Medicare tax rate is 1.5 percent. Federal income tax withheld was $5,300. 8. Paid $2,600 for warranty repairs during the year. 9. Paid $11,500 of other operating expenses during the year. 10. Paid a dividend of $5,200 to the shareholders. ces Adjustments: 11. The products sold in transaction 3 were warranted. Park estimated that the warranty cost would be 4 percent of sales. 12. Record the accrued interest at December 31, Year 1. 13. Record the accrued payroll tax at December 31, Year 1. Assume no payroll taxes have been paid for the year and that the unemployment tax rate is 6.0 percent (federal unemployment tax rate is 0.60 percent and the state unemployment tax rate is 5.40 percent on the first $7,000 of earnings per employee). Required: a. Record the above transactions in general journal form. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list View journal entry worksheet No General Journal Debit Credit Event 01 1 31,000 Cash Common stock 31,000 2 02 141,000 Merchandise inventory Accounts payable 141,000 3 174,500 Cash Sales tax payable Sales revenue 12,215 162,285 4 3b 107,500 Cost of goods sold Merchandise inventory 107,500 5 04 24,000 Cash Notes payable 24,000 6 05 141,000 Accounts payable Cash 141,000 7 06 10,045 Sales tax payable Cash 10,045 07 30,000 Salaries expense FICA tax - Social Security tax payable FICA tax - Medicare tax payable Salaries payable 1,800 450 27,750 9 08 2,600 Warranty expense Cash 2,600 10 09 11,500 Other operating expenses Cash 11,500 11 10 5,200 Dividends Cash 5,200 12 11 6,980 Warranty expense Warranties payable 6,980 13 12 1,400 Interest expense Interest payable 1,400 14 13 No journal entry required 5 Required information 3 (The following information applies to the questions displayed below.] The following transactions apply to Park Co. for Year 1: 1. Received $31,000 cash from the issue of common stock. 2. Purchased inventory on account for $141,000. 3. Sold inventory for $174,500 cash that had cost $107,500. Sales tax was collected at the rate of 7 percent on the inventory sold. 4. Borrowed $24,000 from First State Bank on March 1, Year 1. The note had a 7 percent interest rate and a one-year term to maturity. 5. Paid the accounts payable (see transaction 2). 6. Paid the sales tax due on $143,500 of sales. Sales tax on the other $31,000 is not due until after the end of the year. 7. Salaries for the year for the one employee amounted to $30,000. Assume the Social Security tax rate is 6 percent and the Medicare tax rate is 1.5 percent. Federal income tax withheld was $5,300. 8. Paid $2,600 for warranty repairs during the year. 9. Paid $11,500 of other operating expenses during the year. 10. Paid a dividend of $5,200 to the shareholders. ces Adjustments: 11. The products sold in transaction 3 were warranted. Park estimated that the warranty cost would be 4 percent of sales. 12. Record the accrued interest at December 31, Year 1. 13. Record the accrued payroll tax at December 31, Year 1. Assume no payroll taxes have been paid for the year and that the unemployment tax rate is 6.0 percent (federal unemployment tax rate is 0.60 percent and the state unemployment tax rate is 5.40 percent on the first $7,000 of earnings per employee). Required: a. Record the above transactions in general journal form. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)

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