Using these two transactions create the two journal entry's and the transactions of where they would go on this grid provided

1.February is anticipated to be a busy month. Your Bike business is concerned they may not have enough inventory for resale. Therefore, ten more scooters were purchased from their supplier at a price of $1,600 per bike. The purchase was made on their account with the bike supplier. Terms of the purchase were 5/30 n/60.

2. Wanting to stay on good terms with the bike supplier, the business pays the invoice from the January 21st scooter purchase. If eligible, they claim any applicable discounts

CASH

ACCOUNTS RECEIVABLE

ALLOWANCE FOR DOUBTFUL ACCOUNTS

PREPAID INSURANCE

INVENTORY

TRUCK

ACCUMULATED DEPRECIATION (TRUCK)

BUILDING

ACCUMULATED DEPRECIATION (BUILDING)

BIKE EQUIPMENT

ACCUMULATED DEPRECIATION (BIKE)

LAND

TRADEMARK

=

ACCOUNTS PAYABLE

UNEARNED REVENUE

CREDIT CARD PAYABLE

LOAN PAYABLE

SALES TAX PAYABLE

DIVIDENDS PAYABLE

INCOME TAX PAYABLE

+

COMMON STOCK

DIVIDENDS

BIKE SALE REVENUE

BIKE RENTAL REVENUE

SALES DISCOUNTS

COST OF GOODS SOLD

RENT EXPENSE

ADVERTISING EXPENSE

TELEPHONE EXPENSE

TECHNOLOGY EXPENSE

UTILITY EXPENSE

OWNER WAGES EXPENSE

OFFICE SUPPLIES EXPENSE

BIKE REPAIR EXPENSES

INSURANCE EXPENSE

DEPRECIATION EXPENSE

BAD DEBT EXPENSE

INTEREST EXPENSE

INCOME TAX EXPENSE