1. Prepare general journal entries to record the following transactions for the HarrisCompany. (The company uses the balance sheet approach for recording baddebts expense.) 

2010 

Dec. 31 Recorded Bad Debts Expense, $8002011 

Jan. 3 Wrote off Jal’s account as uncollectible, $60 

Mar. 4 Wrote off Hall’s account as uncollectible, $75 

Jul. 5 Recovered $45 from Hall 

Aug. 19 Wrote off M. Wilson’s account as uncollectible, $100

 Nov. 7 Recovered $25 from Jal

2. For each of the following, identify in Column 1 the category to which the accountbelongs, in Column 2 the normal balance for the account, in Column 3 thefinancial statement that the account in which the account balance is reported,and in Column 4 the account’s nature (temporary/permanent).

                                            Column 1     Column 2      Column 3       Column 4 

            Interest payable

                                           Column 1       Column 2    Column 3        Column 4 

         Interest receivable

                                               Column 1         Column 2        Column 3         Column 4 

Discount on notespayable

                                                 Column 1         Column 2        Column 3        Column 4

                Store equipment

3. A computer server system, which had cost $210,000 and had accumulateddepreciation of $147,000, was traded for a new system with a fair market valueof $235,000. The old system and cash of $180,000 were given for the new system.Prepare the journal entry for the exchange of these similar assets. 

Prepare journal entries for the following for Bartz, Inc. 

May 11 Replaced the engine in a Van #1, paying cash of $5,400 

May 18 Paid cash for a tune-up of the engine in Van #2 of $570 

May 29 Paid cash to add a lift to Van #2 of $3,700

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