RST Ltd starts the year with only two account balances: cash $10 000 and share capital $10 000. 

The following transactions occurred during the year:

a. Credit sales for services, $80 000. 

b. Received cash from accounts receivable for $60 000. 

c. Paid wages of $50 000 and other expenses of $10 000. 

d. At year-end there was an unpaid electricity bill for $5000. 

Required:

1. Prepare journal entries.

2. Post to the ledger.

3. Prepare a trial balance.

4. Prepare closing entries.

5. Prepare an income statement, balance sheet and statement of cash flows.