continuing problem p6 45 accounting for inventory using the perpetual systemac 405355

Continuing Problem P6 45 Accounting for inventory using the perpetual system”LIFO [30’40 min] This problem continues the Draper Consulting situation from Problem 5 43 in Chapter 5. Consider the January transactions for Draper Consulting that were presented in Chapter 5. (Cost data has been removed from the sale transactions.) 3 Requirements 1. Prepare perpetual inventory records for January for Draper using the LIFO perpetual method. (Note: You must figure cost on the 18th, 28th, and 31st.) 2. Journalize and post the January transactions using the perpetual inventory record created in requirement 1. Key all items by date. Compute each account balance, and denote the balance as Bal. 3. Journalize and post the adjusting entries. Denote each adjusting amount as Adj. After posting all adjusting entries, prove the equality of debits and credits in the ledger. Jan 2 Completed a consulting engagement and received cash of $7,800. 2 Prepaid three months’ office rent, $1,650. 7 Purchased 80 units software inventory on account, $1,680, plus freight in, $80. 18 Sold 40 software units on account, $3,500. 19 Consulted with a client for a fee of $1,000 on account. 20 Paid employee salary, $2,055. 21 Paid on account, $1,760. 22 Purchased 240 units software inventory on account, $6,240. 24 Paid utilities, $250. 28 Sold 120 units of software for cash, $4,680. 31 Recorded the following adjusting entries: Accrued salary expense, $685. Depreciation, $100 (Equipment, $30; Furniture, $70). Expiration of prepaid rent, $550. Physical count of inventory, 145 units. I have done really well in this class, but for some reason I am overwhelmed and this problem is now past due. For Jan 20, the template has spaces for 2 debit and 1 credit entries. I am not understanding why that would be. I am also confused because in the last chapter we closed everything out so do we start over or from those closing balances? I could use some help with the entire problem just to make sure that I am doing it right and understand it. So that I am not lost again next week.