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Evergreen Company sells lawn and garden products to wholesalers. The company's fiscal year-end Is December 31. During 2021, the following transactions related to receivables occurred: Feb. 28 Sold merchandise to Lennox, Inc., for $12,000 and accepted a 8%, 7-month note. 8is an appropriate rate for this type of note. Mar 31 Sold merchandise to Maddox Co. that had a fair value of $7,636, and accepted a noninterest-bearing note for which 58,200 payment is due on March 31, 2022. Apr 3. Sold merchandise to Carr Co. for $7,300 dth teres 3/10, 1/30. Evergreen uses the gross method to account for cash discounts 11 Collected the entire amount due from Carr Co. 17 A customer returned merchandise costing $3,500. Evergreen reduced the customers receivable balance by $5,300, the sales price of the merchandise. Sales returns are recorded by the company as they occur 30 Transferred receivables of $53,000 to factor without recourse. The factor charged Evergreen 2 Finance charge on the receivables transferred. The sale criteris are met June 30 Discounted the Lennox, Inc., note at the bank. The bank's discount rate is 10%. The nate was discounted thout recourse. Sep 30 Lennox, Inc., paid the note amount plus interest to the Bank Required: 1. Prepare the necessary Journal entries for Evergreen for each of the above dates Fortransactions involving the sale of merchandise Ignore the entry for the cost of goods sold 2. Prepare any necessary adjusting entries at December 31 2021. Adjusting entries are only recorded ot year-end 3. Prepare o schedule showing the effect of the journal entries on 2021 Income before taxes. Complete this question by entering your answers in the tabs below. Required: Required 2 Required a Prepare any necessary adjusting entries at December 31, 2021. Adjusting entries are only recorded at vear-end notion for atraso select Tournal ertegured in the first account Journal entry worksheet

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