PREPARE A JOURNAL ENTRY.$($DO NOT USE AI$)$

Please use periodic $($monthly$)$ FIFO inventory costingExtend credit to customers on a $2/10,$ net $30$ basis.There are $50,000$ shares of common stock authorized and no shares issued as of January $1$st Sell $10,000$ shares of common stock with a par value of $$1$ for $$20$ each on January $2,2025$Pay $$32,000$ cash for eight months of rentPay $$24,000$ cash for $16$ months of insurancePurchase $$20,000$ worth of supplies, pay cash.Purchase a truck for $$72,000.$ Pay $$25,000$ cash and finance the remaining amount at $12\%.$ The truck will be usedfor three years. Best estimates indicate that the truck will be worth $$25,000$ after three years.Order $2,500$ units of inventory for $$5$ each on January $3,2025$Inventory arrives on January $5,2025$ with an invoice showing terms of $(3/20,$ net $40)$Sell $600$ units of inventory on January $7,2025$ for $$20$ each in a cash saleSell $1,200$ units of inventory on January $10,2025$ for $$19\mathrm{.}50$ each on account.Pay for the inventory you received on January $3,2025,$ take your discount.Sell $1,000$ units of inventory for $$20$ each on January $15,2025$ on account.Purchase $1,300$ units of inventory for $$7,800$ on January $20,2025,$ pay cash and collect the inventory this date with your truck.Receive payment on January $20$th from the customer who purchased inventory on January $10$thThe customer who purchased goods from you on January $15$th returns $100$ defective units$-$issue a refund in cash.On January $20$th payroll checks are distributed. Total wages were $$20,000.$ Withhold FICA $(7\mathrm{.}65\%),$withhold $10\%$ for Federal Tax, $5\%$ for State Tax. Pay all withholdings to the respective agencies.As of January $31$st$,$ estimate that utilities expense will be $$5,000$ but no bills have yet been received.As of January $31$st$,$ the total supplies on hand are worth $$12,000.$As of January $31$st$,$ payroll for the second$-$half of the month is $$20,000$ but checks are issued on February $5$th$.$As of January $31$st$,$ no payment has been made for the truck, payment is due February $10$thExpect $1\%$ of your receivables to be uncollectible.The applicable Income Tax rate is $15\%,$ tax payments are due $10$ days after the end of each month.