Design Home Furnishings Is a Retail Store

Design Home Furnishings is a retail store. On December 31, 2019, the firm's general ledger contained the following accounts and balances. Adjustments are shown below. Prepare the Trial Balance section, record the adjustments in the Adjustments section, and complete the worksheet for the year ended December 31, 2019. Round to the nearest whole dollar.


Adjustments:
(a, b) Merchandise inventory on December 31, 2019, is $44,000.
(c)During 2019, the firm had credit sales of $140,000. The firm estimates that
0.6 percent of these sales will result in uncollectible accounts.
(d)On December 31, 2019, an inventory of supplies showed that items costing
$400 were on hand.
(e)On November 1, 2019, the firm signed a 6-month advertising contract for
$1,800 and paid the full amount in advance.
(f)On January 3, 2018, the firm purchased store equipment for $8,000. At that time, the equipment was estimated to have a useful life of five years and a salvage value of $1,000. (No depreciation has been recorded for the year.)
(g)On December 31, 2019, the firm owed salaries of $3,000 to part-time employees. These salaries will not be paid until 2020.
(h)On December 31, 2019, the firm owed the employer's social security
DESIGN HOME FURNISHINGS
Worksheet
Year Ended December 31, 2019

DESIGN HOME FURNISHINGS
Worksheet
Year Ended December 31, 2019