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The balances of the ledger accounts of Pelango Furniture as of December 31, the end of its fiscal year, are as follows:
Cash: $12,482
Merchandise Inventory: 118,628
Supplies: 1,850
Prepaid Insurance: 2,488
Store Equipment: 32,824
Office Equipment: 11,236
Accumulated Depreciation, Office Equipment: 3,410
Notes Payable: 6,000
Accounts Payable: 23,420
Unearned Rent: 3,150
L. Pelango, Capital: 120,532
L. Pelango, Drawing: 28,000
Sales: 647,090
Sales Returns and Allowances: 8,848
Purchases: 519,374
Purchases Returns and Allowances: 12,440
Purchases Discounts: 8,634
Freight In: 22,824
Wages Expense: 52,800
Interest Expense: 780
Data for the adjustments are as follows:
a–b. Merchandise Inventory at December 31, $104,565.
c. Wages accrued on December 31, $934.
d. Supplies inventory (on hand) at December 31, $755
e. Depreciation of store equipment, $4,982
f. Depreciation of office equipment, $1,531
g. Insurance expired during the year, $935
h. Rent earned, $2,450.
Required:
1. Complete the worksheet after entering the account names and balances onto the worksheet.
2. Journalize the
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