FF had the following transactions during 2023 (not in date order):
a. FF collected $33,000 on accounts receivable throughout the year.
b. FF paid cash dividends to shareholders totaling $4,550.
c. On August 1 FF paid its $23,400 annual insurance premium. Record this
payment as Prepaid Insurance.
d. During the year, FF created a new line of white chocolate fudge for weddings.
This created a spike in overall sales with total revenue reaching $91,000 in fees
earned. $35,500 was collected in cash, with the remainder being sold on account.
e. During the year FF paid $20,800 of rent for production space. Record this
payment as Rent Expense.
f. The company paid $22,100 on accounts payable during the year.
g. On May 1 the company purchased a new digital thermometer system to
monitor the fudge temperature during production. The total cost was $71,500.
$6,500 was paid in cash. The company issued a long-term note with a 9% annual
interest rate for the remaining balance.
h. FF paid its employees total cash salaries of $11,700 during the year. This includes the amount owed for salaries at the beginning of the year.
i. FF purchased $35,100 worth of supplies during the year. (You can’t make
fudge without chocolate!) $13,000 was paid in cash and the remainder was
purchased on account. Record the purchase in the Supplies Expense account.

Instructions
1. Prepare the Journal entry for each transaction (a – i) in the journal (Journal tab
of the Working Papers). The first transaction is journalized and posted for you.
2. Post the journalized transactions to the general ledger (T-accounts), identifying
the transactions using their respective letters a. thru i. (Ledger tab of the Working
Papers). Transaction a. has been posted.
3. After computing balances in the ledger, prepare a trial balance as of December
31, 2023 (Trial Balances & Statements tab of the Working Papers). Column
balances should equal $286,400.