1.

O
Ge

Date Accounts
Jan 10 Merchandise Inventory

Jan 12 Unearned Service Reven

Feb 9 Accounts Payable-Laine

Feb 18 Accounts Receivable

Cost of Merchandise So

Mar 11 Notes Payable-Laine Co

Interest Expense

May 1 Cash

June 15 Wages Expense

June 25 Pension Expense

 2.
O'Donnel Co. O'Donnel C
General Journal Adjusting En
In 2022 As of June 30
Accounts Ref. Debit Credit Accounts
Merchandise Inventory $ 240,000 Product Warranty Expense
Accounts Payable-Laine Co. $ 240,000

Unearned Service Revenue $ 10,000

Service Revenue $ 10,000

Accounts Payable-Laine Co. $ 240,000 3.

Notes Payable-Laine Co. $ 240,000 O'Donnel C
Balance Sheet (
Accounts Receivable $ 250,000 As of June 30
Sales $ 250,000
Cost of Merchandise Sold LIABILITIES
Merchandise Inventory

Notes Payable-Laine Co. $ 240,000

Interest Expense $ 800
Cash $ 240,800

Cash $ 160,000
Notes Payable-Tabata Bank $ 160,000

Wages Expense $ 320,000

Income Tax Payable $ 40,000
Wages Payable $ 280,000

Pension Expense $ 60,000

Cash $ 45,000
Unfunded Pension Liability $ 15,000

$ 1,520,800 $ 1,520,800
 O'Donnel Co.
Adjusting Entries
As of June 30, 2022
Accounts Ref. Debit Credit
Product Warranty Expense $ 20,000
Product Warranty Payable $ 20,000

$ 20,000 $ 20,000

O'Donnel Co.
Balance Sheet (Partial)
As of June 30, 2022

LIABILITIES
Current Liabilities
Accounts Payable $ 52,000
Unearned Service Revenue $ 6,000
Notes Payable $ 160,000
Income Tax Payable $ 40,000
Wages Payable $ 280,000
Product Warranty Payable $ 20,000
Interest Payable $ 1,333
Unfunded Pension Liability $ 15,000
Total Current Liabilities $ 574,333