For each of the following transactions, indicate the journal entries and the net impact of transactions on total assets, total liabailities, total owners' equity, revenues/gains, expenses/losses, and cash flow from operating, investing and financing activities. Make sure to enter the amounts in the template as either positive for an increase, negative for a decrease, or zero for no impact.

TK Printer Systems (TK) markets a high-speed 3D printer for the manufacturing industry. The Company is located in Seattle, Washington and commenced business on January 1, 2020; the company's year-end is December 31. TK purchases the printers from two European contract manufacturers that produce on its behalf. The transactions noted below occured during 2020 - you need to prepare journal entries for the transactions on the dates as indicated.

Transcribed Image Text:

1) On September 30, 2020, JayTek Inc ordered 200 printers (invoice price $5.200 per unit). Early the morning of December 31, 2020 JayTek placed an order for 100 additional printers ($5,350 per unit). TK was able to complete the first order and shipped the 200 units FOB shipping.point by truck to JayTek's California distribution center later the morning of December 31, 2020. JayTek wired payment for the entire amount of both orders to TK's bank prior to the end of the day December 31 (the bank notified TK that the funds had posted on the 31st). TK was able to ship the second order of 100 units FOB destination on January 2, 2021. JayTek received the first order on January 3, 2021 and the second order on January 6, 2021. Note that TK had no other orders/sales during 2020 other than the JayTek transactions. %3D The Company uses the FIFO method of accounting for inventory and the details of inventory activity through December 31, 2020 (just prior to the shipments) are as follows - Unit Total Date Description Units Cost Cost 1/1 Beg Inv 70 $2.410 $ 168.700 10/10 Purchases 130 2,175 282,750 10/15 Purchases 50 2,340- 117,000 11/30 Purchases 50 2.401 120.050 12/31 Inv balance 300 $688,500 There were no additional inventory purchases from December 31 to January 3. Prepare the necessary journal entry as of December 31, 2020 for the JayTek transactions. 1) On September 30, 2020, JayTek Inc ordered 200 printers (invoice price $5.200 per unit). Early the morning of December 31, 2020 JayTek placed an order for 100 additional printers ($5,350 per unit). TK was able to complete the first order and shipped the 200 units FOB shipping.point by truck to JayTek's California distribution center later the morning of December 31, 2020. JayTek wired payment for the entire amount of both orders to TK's bank prior to the end of the day December 31 (the bank notified TK that the funds had posted on the 31st). TK was able to ship the second order of 100 units FOB destination on January 2, 2021. JayTek received the first order on January 3, 2021 and the second order on January 6, 2021. Note that TK had no other orders/sales during 2020 other than the JayTek transactions. %3D The Company uses the FIFO method of accounting for inventory and the details of inventory activity through December 31, 2020 (just prior to the shipments) are as follows - Unit Total Date Description Units Cost Cost 1/1 Beg Inv 70 $2.410 $ 168.700 10/10 Purchases 130 2,175 282,750 10/15 Purchases 50 2,340- 117,000 11/30 Purchases 50 2.401 120.050 12/31 Inv balance 300 $688,500 There were no additional inventory purchases from December 31 to January 3. Prepare the necessary journal entry as of December 31, 2020 for the JayTek transactions.

Answer rating: 100% (QA)

Journal Entries Cash Flow Date JE Account Debit Credit Assets Liabilities Owners Equity RevenueGains ... View the full answer