P$9-2($Algo$)$ Recording and Reporting Current Liabilities and identifying Cash Flow Effects LO$9-1,9-5$

Roger Company completed the following transactions during Year $1.$ Roger$$s fiscal year ends on December $31.$

January $8$Purchased merchandise for resale on account. The invoice amount was $$14,820$; assume a perpetual inventory system.January $17$Paid January $8$ invoice.April $1$Borrowed $$42,000$ from National Bank for general use; signed a $12-$month, $7\%$ annual interest$-$bearing note for the money.June $3$Purchased merchandise for resale on account. The invoice amount was $$17,420.$July $5$Paid June $3$ invoice.August $1$Rented office space in one of Roger$$s buildings to another company and collected six months$$ rent in advance amounting to $$27,000.$December $20$Received a $$280$ deposit from a customer as a guarantee to return a trailer borrowed for $30$ days.December $31$Determined wages of $$10,000$ were earned but not yet paid on December $31($disregard payroll taxes$).$

Required:

Prepare journal entries for each of these transactions.

Prepare the adjusting entries required on December $31.$

Show how all of the liabilities arising from these transactions are reported on the balance sheet at December $31.$

Record the $$14,820$ purchased merchandise for resale on account assuming a perpetual inventory system.

Record the $$14,820$ paid for merchandise purchased.

Record the $$42,000$ borrowed for general use; signing a $12-$month, $7\%$ annual interest$-$bearing note for the money.

Record the $$17,420$ purchased merchandise for resale on account.

Record the $$17,420$ paid for merchandise purchased.

Record the $$27,000$ rent collected for office space for six months.

Record the $$280$ deposit received from a customer as a guarantee to return a trailer borrowed for $30$ days.

Determined wages of $$10,000$ were earned but not yet paid on December $31($disregard payroll taxes$).$

Record the adjusting entry for interest expense on the $$42,000,7\%$ annual interest$-$bearing note.

Record the adjusting entry for rent revenue.

Show how all of the liabilities arising from these transactions are reported on the balance sheet at December $31.$