Question $5-(2$ marks$)$

Alberta Garbage Corp. $($AGC$)$ 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. AGC requires customers to sign a contract and deposit $\backslash (\backslash$$ $8,000\backslash )$ 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. AGC 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. AGC recorded $19$ containers on cancelled contracts which had been returned. On December $31,$ AGC 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.