CHECK FIGURES: $3.$ Profit $=$$$23,856$; Total assets $=$$$379,269$

Alpine Company LO$4$

Assume it is Monday, May $1,2023,$ the first business day of the month, and you have just been hired as the

accountant for Alpine Company, which operates with monthly accounting periods. All of the company's

accounting work has been completed through the end of April and its ledgers show April $30$ balances.

Alpine uses a perpetual system to account for inventory. The terms of all credit sales are $2//10,$n$//30.$ During

your first month on the job, you record the following transactions on page $2$ of each journal.

Note: If the Working Papers that accompany this textbook are not being used, the forms needed to complete this

problem are available on Connect.

Required

Enter the transactions in the appropriate journals and post when instructed to do so$.$

Prepare a trial balance in the Trial Balance columns of the provided work sheet form and complete the

work sheet using the following information.

a$.$ Expired insurance, $$553.$

b$.$ Ending store supplies inventory, $$2,632.$

c$.$ Ending office supplies inventory, $$504.$

d$.$ Estimated depreciation of store equipment, $$567.$

e$.$ Estimated depreciation of office equipment, $$329.$

f$.$ Ending merchandise inventory, $$191,000.$

Prepare a May classified, multiple$-$step income statement, a May statement of changes in equity, and a

May $31$ classified balance sheet.

Prepare and post adjusting and closing entries $($omit explanations$).$

Prepare a post$-$closing trial balance. Also prepare a list of the accounts receivable subledger accounts and

a list of the accounts payable subledger accounts.

May $1$ Issued cheque #$3410$ to S&M Management Co$.$ in payment of the May rent, S$3,700.$ Use two lines to record the

transaction. Charge $80\%$ of the rent to Rent Expense, Selling Space, and the balance to Rent Expense, Office Space.

$2$ Sold merchandise on credit to Essex Company, invoice #$8785,$ $$6,050.$ Cost $$3,640.$

$2$ Issued a $$130$ credit memo to Nabors Inc. for defective merchandise sold on April $28$ and discarded when

returned to inventory $($cost S $105)$ for credit. The total selling price was S$4,730.$

$3$ Received a $$350$ credit memo from Parkay Products for merchandise received on April $29$ and returned for credit.

$4$ Purchased on credit from Thompson Supply Co$.$: merchandise, $$37,100$; store supplies, S$580$; and office supplies,

$$85.$ Invoice dated May $4,$ terms n$/10$ EOM.

$5$ Received payment from Nabors Inc. from the sale of April $28.$

$8$ Issued cheque #$3411$ to Parkay Products to pay for the $$7,100$ of merchandise received on April $29($terms $2/10,$

n$//30).$

$9$ Sold store supplies to the merchant next door at cost for cash, S$325.$

$10$ Purchased office equipment on credit from Thompson Supply Co$.,$ invoice dated May $10,$ terms n$/10$ EOM,

$$4,200.$

$11$ Received payment from Essex Company for the May $2$ sale.

$11$ Received merchandise and an invoice dated May $10,$ terms $2/10,$ n$/30,$ from Gale Inc., $$9,100.$

$12$ Received an $$850$ credit memo from Thompson Supply Co$.$ for defective office equipment received on May $10$

and returned for credit

$15$ Issued cheque #$3412$