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Record the following entries in general journal form for December, 2018:

December 1: Purchased Land for a future building site for $500,000, paying $100,000 down and signed a 5%, 90-day note for the balance.

December 3: Recorded sales on account of $45,000, 2/15, net 30. Cost of inventory was 23,500. JPJones using the net method for accounting for sales.

December 4: Bought back 5000 shares of stock for $20 per share.

December 4: Purchased 40,000 worth of equipment, 5 year life, $5,000 salvage value, for cash. Equipment will be depreciated using the straight-line method of depreciation.

December 5: Issued 5000 shares of restricted stock to its CFO. The stock has a fair value of $72,000. The service period related to this restricted stock is 3 years. Vesting occurs if the CFO stays with the company for 3 years. The par value of the stock is $1.

December 8: Purchased inventory of $44,000 on account and paid $30,000 on separate account.

December 15: Recorded cash sales of $24,000, cost of merchandise inventory was $14,900.

December 16: Issued 1,000 shares of common stock at $16.00 per share

December 17: Received payment related to sale on December 3.

December 20: Recorded sales on account of $113,000, cost of merchandise inventory was $75,000

December 24: Sold 2500 shares of Treasury Stock for $23 per share.

December 26: Wrote off 3,500 in bad debt.

Record the following adjusting entries in general journal form as of December 31, 2018:

1. Supplies on hand at the end of the year: $450
2. Equipment shown on the 12/1 TB was purchased on 1/1/17, has a 8 year life, no salvage value and company uses double-declining balance method for its depreciation.
3. Included in the truck balance is a fully depreciated truck for $6,500 and a new truck valued at $50,000 which was purchased on 1/1/17. The new truck has a 9-year life, no salvage value and the company uses the sum-of-the-years digits for its depreciation method on this asset.
4. The patent was purchased on 1/1/2013 for $100,000 and its useful life is 20 years.
5. $18,600 was paid on September 1, 2018 for six months rent
6. On 3/1/18, paid $22,500 for a 12-month insurance policy.
7. Declared dividends of $15,000 on December 31
8. The fair market value of the securities (classified as marketable) is $19,500.
9. 4% of Accounts Receivable is estimated to be uncollectible. Company uses the allowance method for estimating its uncollectible accounts.
10. Accrued salaries expense of $6,000 and recorded Payroll tax expense on account of $2300.
11. Had issued $200,000 of 6%, 10-year bond, dated 1/1/17 for $215,589 when the market rate was 5%. Interest is paid on June 30 and January 1 using the effective interest rate method. The June payment is included in the Dec. 1 TB. (Additional credit awarded if amortization table is included)
12. One month has passed since the issuance of restricted stock.
13. Interest on 30 days of note payable should be accrued. (Assume 360 days in a year for calculation)
14. Income tax rate is 25%

Additional Information:

During 2018, the following additional transactions occurred: (Hint: these are already included in 12/1/18 TB, but may be needed for the Statement of Cash Flows)

1. Issued 5,000 shares of common stock, $1 par, for $35,000 on June 30, 2018.
2. Some equipment was sold (original cost $10,000, book value $6,000) for $5,000 (do not consider in your #2 AJE)
3. All amortization and depreciation is recorded once a year on December 31.

Record the following entries in general journal form for December, 2018:

December 1: Purchased Land for a future building site for $500,000, paying $100,000 down and signed a 5%, 90-day note for the balance.

December 3: Recorded sales on account of $45,000, 2/15, net 30. Cost of inventory was 23,500. JPJones using the net method for accounting for sales.

December 4: Bought back 5000 shares of stock for $20 per share.

December 4: Purchased 40,000 worth of equipment, 5 year life, $5,000 salvage value, for cash. Equipment will be depreciated using the straight-line method of depreciation.

December 5: Issued 5000 shares of restricted stock to its CFO. The stock has a fair value of $72,000. The service period related to this restricted stock is 3 years. Vesting occurs if the CFO stays with the company for 3 years. The par value of the stock is $1.

December 8: Purchased inventory of $44,000 on account and paid $30,000 on separate account.

December 15: Recorded cash sales of $24,000, cost of merchandise inventory was $14,900.

December 16: Issued 1,000 shares of common stock at $16.00 per share

December 17: Received payment related to sale on December 3.

December 20: Recorded sales on account of $113,000, cost of merchandise inventory was $75,000

December 24: Sold 2500 shares of Treasury Stock for $23 per share.

December 26: Wrote off 3,500 in bad debt.

Record the following adjusting entries in general journal form as of December 31, 2018:

1. Supplies on hand at the end of the year: $450
2. Equipment shown on the 12/1 TB was purchased on 1/1/17, has a 8 year life, no salvage value and company uses double-declining balance method for its depreciation.
3. Included in the truck balance is a fully depreciated truck for $6,500 and a new truck valued at $50,000 which was purchased on 1/1/17. The new truck has a 9-year life, no salvage value and the company uses the sum-of-the-years digits for its depreciation method on this asset.
4. The patent was purchased on 1/1/2013 for $100,000 and its useful life is 20 years.
5. $18,600 was paid on September 1, 2018 for six months rent
6. On 3/1/18, paid $22,500 for a 12-month insurance policy.
7. Declared dividends of $15,000 on December 31
8. The fair market value of the securities (classified as marketable) is $19,500.
9. 4% of Accounts Receivable is estimated to be uncollectible. Company uses the allowance method for estimating its uncollectible accounts.
10. Accrued salaries expense of $6,000 and recorded Payroll tax expense on account of $2300.
11. Had issued $200,000 of 6%, 10-year bond, dated 1/1/17 for $215,589 when the market rate was 5%. Interest is paid on June 30 and January 1 using the effective interest rate method. The June payment is included in the Dec. 1 TB. (Additional credit awarded if amortization table is included)
12. One month has passed since the issuance of restricted stock.
13. Interest on 30 days of note payable should be accrued. (Assume 360 days in a year for calculation)
14. Income tax rate is 25%

Additional Information:

During 2018, the following additional transactions occurred: (Hint: these are already included in 12/1/18 TB, but may be needed for the Statement of Cash Flows)

1. Issued 5,000 shares of common stock, $1 par, for $35,000 on June 30, 2018.
2. Some equipment was sold (original cost $10,000, book value $6,000) for $5,000 (do not consider in your #2 AJE)
3. All amortization and depreciation is recorded once a year on December 31.

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