Taylor Marina has 400 available slips that rent for $630 per season. Payments must be made in full at the start of the boating season, April 1, 2013. Slips for the next season may be reserved if paid for by December 31, 2012. Under a new policy, if paymen
Taylor Marina has 400 available slips that rent for $630 per season. Payments must be made in full at the start of the boating season, April 1, 2013. Slips for the next season may be reserved if paid for by December 31, 2012. Under a new policy, if payment is made by December 31, 2012, a 4% discount is allowed. The boating season ends October 31, and the marina has a December 31 year-end. To provide cash flow for major dock repairs, the marina operator is also offering a 21% discount to slip renters who pay for the 2014 season.
For the fiscal year ended December 31, 2012, all 400 slips were rented at full price. 186 slips were reserved and paid for the 2013 boating season, and 58 slips for the 2014 boating season were reserved and paid for.
Prepare the appropriate journal entries for fiscal 2012. (Round answers to 0 decimal places, e.g. 5,275. Credit account titles are automatically indented when amount is entered. Do not indent manually.)
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