Reflection activity: For this weeks learning journal review and prepare any necessary journal entries for the following scenarios: Scenario 1: On July 1st, Wellness Gym obtained inventory from Equip Store Ltd with a value of $20,000, utilizing a credit arrangement. Equip Store Ltd provides a 4% credit allowance if payment is completed within 10 days. On July 3rd, Wellness Gym returned damaged inventory valued at $5,000. On July 9th, Wellness Gym made the full payment to Equip Store Ltd.

Scenario 2: On August 1st, Wellness Gym receives an advance payment of $3,000 gym subscription for three months from a client. On August 30th, Wellness Gym recognizes $1,000 of the advance payment as revenue for the services that have been completed during the month. On September 30th, Wellness Gym recognizes an additional $1,000 of the advance payment as revenue for the services completed in the second month. By the end of the three-month period, Wellness Gym has recognized all $3,000 of the advance payment as revenue.

Scenario 3: Mindset. Co approached Wellness Gym to arrange a basic wellness session for their employees. On October 5, Wellness Gym and Mindset. Co entered a contract for the wellness program, with a value of $4,000, on credit. The contract stated that a 2% discount would be granted if the payment was made within 10 days. On October 28, Wellness Gym received the complete payment from Mindset. Co.

Scenario 4: On November 1st, Wellness Gym secures a one-year loan of $100,000 from a bank at an annual interest rate of 14% for the purpose of expanding the gym. Wellness Gym records interest accumulation every two months, at the end of each two months