Record the following journal entries for Taylor Company for the month of March: Borrowed $4,500 from Local Bank and Trust Investors contributed $10,000 in cash for shares of stock Bought inventory costing $2,000 on credit Sold inventory that originally cost $400 for $600 on credit Purchased a new piece of equipment for $500 cash Collected $600 in cash from sale of inventory in (d) above Paid for inventory purchased in (c) above Paid $1,200 in cash for an insurance policy that covers the next year Employees earned $3,000 during the month but have not yet been paid Paid employees $2,900 for wages earned and recorded during February

Vulcan flyovers offers scenic overflights of mount st. helens, the volcano in washington state that explosively erupted in 1982. data concerning the company’s operations in july appear below: vulcan flyovers operating data for the month ended july 31 actual results flexible budget planning budget flights (q) 56 56 54 revenue ($350.00q) $ 16,500 $ 19,600 $ 18,900 expenses: wages and salaries ($3,300 + $91.00q) 8,354 8,396 8,214 fuel ($31.00q) 1,904 1,736 1,674 airport fees ($870 + $35.00q) 2,730 2,830 2,760 aircraft depreciation ($11.00q) 616 616 594 office expenses ($240 + $1.00q) 464 296 294 total expense 14,068 13,874 13,536 net operating income $ 2,432 $ 5,726 $ 5,364 the company measures its activity in terms of flights. customers can buy individual tickets for overflights or hire an entire plane for an overflight at a discount. required: 1. prepare a flexible budget performance report for july that includes revenue and spending variances and activity variances.