1. On Nov 30, 2016, the Zu company had the following account balance

Assume the company has a balance of $150,000 on revenue and $145,000 on expense account. During the month of December the Zu company entered into the following transactions:

Prepare general journal entries to record the preceding transactions

Post to the general ledger accounts

Prepare the income statement and balance sheet assuming the company is income tax exempt and all net income was retained in the business.

Account Cash Accounts receivable Inventories Other current assets Building and equipment (net) Land Total assets Balance Account $3,200 Account payable 9,900 Long term liabilities 10,600 Total liabilities 2,000 42,000 Common stock Retained earnings 9,000 76,700 Total liabilities and equities Balance $10,700 3,600 14,300 20,000 42,400 76,700