Five transactions for Mirmax Rentals described below. Aug 1: Mirmax purchases two new saws on credit at $425 each. The saws are added to Mirmax's rental inventory. Payment is due in 30 days.
Aug 8: Mirmax accepts advance deposits for tool rentals of $125 that will be applied to the cash rental when the tools are returned.
Aug 15: Mirmax receives a bill from Macon Utility Company for $180. Payment is due in 30 days.
Aug 20: Customers are charged $1,250 by Mirmax for tool rentals. Payment is due from the customers in 30 days.
Aug 31: Mirmax receives $600 in payments from the customers that were billed for rentals on August 20.
Required: Journalize the five transactions for Mirmax Rentals.

Fanning company is considering the addition of a new product to its cosmetics line. the company has three distinctly different options: a skin cream, a bath oil, or a hair coloring gel. relevant information and budgeted annual income statements for each of the products follow. skin cream bath oil color gel budgeted sales in units (a) 110,000 190,000 70,000 expected sales price (b) $8 $4 $11 variable costs per unit (c) $2 $2 $7 income statements sales revenue (a × b) $880,000 $760,000 $770,000 variable costs (a × c) (220,000) (380,000) (490,000) contribution margin 660,000 380,000 280,000 fixed costs (432,000) (240,000) (76,000) net income $228,000 $140,000 $204,000 required: (a) determine the margin of safety as a percentage for each product. (b) prepare revised income statements for each product, assuming a 20 percent increase in the budgeted sales volume. (c) for each product, determine the percentage change in net income that results from the 20 percent increase in sales. (d) assuming that management is pessimistic and risk averse, which product should the company add to its cosmetics line? (e) assuming that management is optimistic and risk aggressive, which product should the company add to its cosmetics line?