The work sheet from Application Problem 4-3 is needed to complete this problem.

1. Journalize the adjusting entries for AllSports Center. Use page 13 of a general journal.

2. Journalize the closing entries for AllSports Center. Use pages 14 and 15 of a general journal. Dividends declared during the current quarter were \($12,000.00.\)

Data from Problem 4-3

AllSports Center is a merchandising business that sells sports clothing and equipment. AllSports Center’s December 31 trial balance is recorded on a 12-column work sheet in the Working Papers. The following adjustment information is available:

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Adjustment Information, December 31 Uncollectible accounts expense-estimated as 1.0% of sales on account. Sales on account for the year Merchandise Inventory-Clothing Merchandise Inventory-Equipment Supplies Used-Clothing $145,700.00 88,950.00 93,678.80 Supplies Used Equipment Supplies Used-Administrative Insurance Expired 1,925.00 1,287.00 834.00 7,200.00 Depreciation Expense-Office Equipment 1,100.00 Depreciation Expense-Store Equipment, Clothing 3,720.00 Depreciation Expense-Store Equipment, Equipment 1,850.00 Federal Income Tax Expense for the Year 16,421.38