Katch Refuse Corp. (KRC) specialize in clearing up construction and heavy industrial items discarded. Commercial customers call them in advance and are issued large metallic containers with powerful suction capabilities. KRC requires customers to sign a contract and deposit $8,000 for each container delivered to them. Upon the container being returned the deposit is refunded. If a customer cancels the trash collection contract but fails to return the container the deposit is forfeited by the customer. KRC began the current year with 140 issued containers. During the year it issued 189 additional containers. Further several customers cancelled their contracts but not all of them returned the containers which were in their possession. KRC recorded 19 containers on cancelled contracts which had been returned. On December 31, KRC held contracts (not cancelled/outstanding) for 301 issued containers. Any differences represented the containers not returned by customers who cancelled their respective contracts. Required: Provide the journal entry required to record i) receipt of deposits on this years' new contracts and ii) the forfeiture of the deposits. Show support for the computations made