Vail Resorts, Inc., owns and operates five premier year-round ski resort properties (Vail Mountain, Beaver Creek Resort, Breckenridge Mountain, and Keystone Resort, all located in the Colorado Rocky Mountains, and Heavenly Valley Mountain Resort, located in the Lake Tahoe area of California/Nevada). The company also owns a collection of luxury hotels, resorts, and lodging properties. The company sells lift tickets, ski lessons, and ski equipment. The following hypothetical December transactions are typical of those that occur at the resorts.

a. Borrowed $2,500,000 from the bank on December 1, signing a note payable due in 6 months.
b. Purchased a new snowplow for $90,000 cash on December 31.
c. Purchased ski equipment inventory for $40,000 on account to sell in the ski shops.
d. Incurred $62,000 in routine maintenance expenses for the chairlifts; paid cash.
e. Sold $372,000 of January through March season passes and received cash.
f. Sold a pair of skis from a ski shop to a customer for $750 on account. (The cost of the skis was $450.)
g. Sold daily lift passes in December for a total of $270,000 in cash.
h. Received a $3,200 deposit on a townhouse to be rented for five days in January.
i. Paid half the charges incurred on account in (c).
j. Received $400 on account from the customer in (f).
k. Paid $258,000 in wages to employees for the month of December.

Required:

1. Prepare journal entries for each transaction. (Remember to check that debits equal credits and that the accounting equation is in balance after each transaction.)

2. Assume that ending balance in the Accounts Receivable account at the end of December based on transaction (A) through (K). Show your work in T_Account format.

Account receivable credit balance is 67100 means customer has overpaid and company has liability to settle it.

Explanation:

a.) Dr Bank     2500,000

        Cr  Notes payable         2500,000

b.) Dr Snowplow      90000

          Cr  Cash              90000

c.) Dr Inventory   40000

            Cr Accounts payable    40000

d.) Dr Repair and maintenance expense 62000

           Cr   Cash                                                     62000

e.)1. Dr Account receivable   372000

           Cr   Sales revenue                        372000

   2. Dr Cash         372000

            Cr  Account receivable   372000

f.) Dr Account receivable  ( 750*450)  337500

              Cr Sales revenue                             337500

g.) Dr Cash          270000

           Cr Account receivable     270000

h.) Dr Cash    3200

           Cr     Advance rent    3200

I.) Dr Account payable  20000

         Cr Cash    (40000/2)              20000

j.) Dr Cash   400

          Cr Account receivable    400.

k.) Dr  Salary expense    258000

          Cr Cash                               258000

2.)                                       ACCOUNT RECEIVABLE

                               e.1)-372000          ---          e.2)  372000

                                f.- 337500                       g.  270000

                                                                             j.   400

                                                            Balance 67100

                                    709500                 709500

1) the stages a new product goes through from beginning to end, i.e., the stages that a product passes through from introduction through growth, maturity, and decline. 2) the time from initial research and development to the time at which sales and support of the product to customers are withdrawn. 3) the period of time during which a product can be produced and marketed profitably.

                                          hope it

a

b

b

a

c

b

d

d

none of these are correct, as they are all sources of american law

a