Question

The following transactions took place during the month of December , 2014: Dec1: Paid $7500 to cover rent for December, January, February, and March. Dec2: Paid an annual premium of $ 8400 for business insurance. Dec3: Received $16500 from a customer to satisfy a balance from sales in September. Dec3: Paid $28,500 for display cases and other store fixtures. Dec5: Borrowed $20,000 from the bank, singing a 3-year, 6.9% promissory note. Dec7: Purchased $48,000 of merchandise from Gilbert Company with terms 2/10, n/30. Dec9: Purchased merchandise for $23,000 cash. Dec10: Returned damaged merchandise to Gilbert Company: received credit for $17,000. Dec10: Investors paid a total of $30,000 to purchase 20,000 shares of the company’s $.80 par value common stock. Dec10: Sold merchandise to R. J/ Anderson on account, $28,000 with terms 2/10, net/30. Dec12: Received and paid telephone bill in the amount of $425 for December service. Dec13: Completed a $9700 credit sale to Ben Jackson with terms 1/10, n/30. Dec 14: Paid the balance due to Gilbert Company. Dec 15: received $ 2000 of merchandise returned by Ben Jackson. Dec16: Purchased $ 18,000 of merchandise from Leo Company with terms 1/10, n/30. Dec17: A company that owed us $ 1,100 filed bankruptcy. The account was written off. Dec 19: Bought $530 of supplies on account. Dec 20: Sold merchandise on account to Martha Corner for $26,000, terms 2/15, n/30. Dec20: Received payment in full from Ben Jackson. Dec 24: Received a $385 bill for electricity used in December. Dec28: received a check from R.J. Anderson for payment in full. Dec28: Recorded cash sales for December totaling $ 39,650. Dec29: Paid half of the amount owed to Leo Company. December 31: Fix it up declared and paid a $.13 per share cash dividend Prepared adjusted entries, closing entries and ledgger