The general ledger of Jackrabbit Rentals at January 1, 2021, includes the following account balances:
Accounts Debits Credits
Cash $ 52,500
Accounts Receivable 36,700
Land 121,800
Accounts Payable 16,400
Notes Payable (due in 2 years) 41,000
Common Stock 111,000
Retained Earnings 42,600
Totals $ 211,000 $ 211,000
The following is a summary of the transactions for the year:
1. January 12 Provide services to customers on account, $73,400.
2. February 25 Provide services to customers for cash, $80,800.
3. March 19 Collect on accounts receivable, $46,800.
4. April 30 Issue shares of common stock in exchange for $41,000 cash.
5. June 16 Purchase supplies on account, $14,300.
6. July 7 Pay on accounts payable, $12,400.
7. September 30 Pay salaries for employee work in the current year, $75,200.
8. November 22 Pay advertising for the current year, $23,600.
9. December 30 Pay $4,000 cash dividends to stockholders.
The following information is available for the adjusting entries. Accrued interest on the notes payable at year-end amounted to $3,600 and will be paid January 1, 2022. Accrued salaries at year-end amounted to $2,600 and will be paid on January 5, 2022. Supplies remaining on hand at the end of the year equal $3,400.
Required:
1. Prepare the journal entries of above transactions.
