Prepare a journal entries for this. i . The audit

Prepare a journal entries for this.

i.    The audit has uncovered unrecorded transactions relating to the payment and receipt of dividends. On 30 June 2021, THE DATA INCUBATOR received dividends of $10,000 and paid dividends worth $50,000 to its shareholders. The balance sheet showed dividends receivable of $5,000 and dividends payable of $30,000 on 30 June 2021. Company management have informed the audit team that no dividends receivable or payable exist at 30 June 2021. 

ii.    One of the cash receipts credited to revenue turned out to be a deposit for $6,000 made by a customer on an order that will be filled a week after the end of the year. The audit also uncovered that the receipt of cash from accounts receivable of $10,000 on 1 July 2020 was incorrectly credited to revenue. 

iii.    THE DATA INCUBATOR prepays rent every six months. The last payment of $24,000 was made and recorded on 31 March 2021 for the six-month period starting 1 April 2021. The audit uncovered that no adjustments have been recorded since 30 April 2021 when the monthly rental expense for April was correctly recorded. 

iv.    THE DATA INCUBATOR pays annual insurance of $30,000 every year on 1 June. The insurance premium, which has not increased since 2016, covers the period 1 July to 30 June. The 2020 audit files show that the correct insurance prepaid was shown in the balance sheet on 30 June 2020. However, on 30 June 2021, the income statement shows an insurance expense of $25,000 and the balance sheet showed insurance prepaid of $35,000. 

v.    The audit uncovered several unrecorded transactions in relation to employee wages. On 30 June, the company paid wages of $14,000, $4,000 of which were owed for the month of May. $7,000 remained outstanding to employees at the end of June. None of these transactions were evident in the income statement or balance sheet.