Current Attempt in ProgressCurrent Attempt in Progress$($b$)$

Prepare the journal entries on the books of Indigo Retailing to record the consignment transactions. $($Credit account titles are

automatically indented when the amount is entered. Do not indent manually. If no entry is required, select $"$No Entry" for the account titles

and enter $0$ for the amounts. List all debit entries before credit entries.$)$

No$.$ Account Titles and Explanation

Revenue from Consignment Sales

$($To record year end sales entry.$)$

Revenue from Consignment Sales

Commission Revenue

$($To record remittance to consignor.$)$

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At the end of $2023,$ Monty Corp. has accounts receivable of $$2\mathrm{.}95$ million and an allowance for expected credit losses of $$132,000.$ On

January $16,2024,$ Monty determined that its $$24,400$ receivable from Sandhill Co$.$ will not be collected, and management has

authorized its write$-$off. On January $31,2024,$ Monty received notification that the company will receive $$0\mathrm{.}20$ for every $$1\mathrm{.}00$ of

accounts receivable relating to Carla Vista Co$.$ The company had previously written off $100\%$ of the amount due from Carla Vista

$($$$56,000).$

$($a$)$

Prepare the journal entry for Monty to write$-$off the Sandhill receivable and any journal entry needed to reflect the notice

regarding Carla Vista. $($Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is

required, select $"$No Entry" for the account titles and enter $0$ for the amounts. List all debit entries before credit entries.$)$

Sandhill Co$.$ accounts receivable write$-$off:

Account Titles and Explanation

Debit

Credit

Carla Vista Co$.$ reinstatement of partial accounts receivable for amounts previously written off and now determined to be

collectible:

Account Titles and Explanation

Debit

Credit

Riverbed Corp. deposits all receipts intact and makes all payments by cheque. The following information is available from the cash

records:

$($a$)$

Determine the amount of deposits in transit and outstanding cheques at May $31.$ Keep in mind the time lag between deposits and

cheques being recorded in the books and when they are recorded by the bank.

Deposits in transit, May $31$

Outstanding cheques, May $31$