The Candy Company, Inc., which provides consulting services to major utility companies, was formed on January 2 of this year. Transactions completed during the first year of operation were as follows: January 2 - Issued 600,000 shares of stock for $10,000,000. January 10 - Acquired equipment in exchange for $2,000,000 cash and a $6,000,000 note payable. The note is due in ten years. February 1 - Paid $24,000 for a business insurance policy covering the two-year period beginning on February 1. February 22 - Purchased $900,000 of supplies on account March 1 - Paid wages of $185,600 March 23 - Billed $2,730,000 for services rendered on account April 1 - Paid $100,000 of the amount due on the supplies purchased February 22. April 17 - Collected $210,000 of the accounts receivable May 1 - Paid wages of $200,400. May 8 - Received and paid bill for $98,200 for utilities. May 24 - Paid $42,500 for sales commissions. June 1 - Made the first payment on the note issued January 10. The payment consisted of $60,000 interest and $200,000 applied against the principal of the note. June 16 - Billed customers for $560,000 of services rendered. June 30 - Collected $300,000 on accounts receivable. July 10 - Purchased $155,000 of supplies on account. I August 25 - Paid $160,000 for administrative expenses. September 23 - Paid $30,000 for warehouse repairs. October 1 - Paid general wages of $90,000. November 20 - Purchased supplies for $60,000 cash. December 15 - Collected $125,600 in advance for services to be provided in December and January. December 30 - Declared and paid a $50,000 dividend to shareholders. REQUIRED: Utilizing the information provided above, complete the following steps in an Excel 1. Journalize the transactions for the year. 2. Post the journal entries to a T account. 3. Prepare an unadjusted trial balance as of December 31. 4. Journalize and post adjusting entries to the T accounts based on the following additional information: a. Eleven months of the insurance policy expired by the end of the year. b. Depreciation for equipment is $400,000. c. The company provided $70,000 of services related to the advance collection of December 15. d. There are $500,000 of supplies on hand at the end of the year. e. An additional $170,000 of interest has accrued on the note by the end of the year. f. Wilson accrued wages of $200,000 at the end of the ear. 5. Prepare an adjusted trial balance as of December 31. 6. Prepare a single-step income statement and statement of retained earnings for the year ended December 31 and a classified balance sheet as of December 31. 7. Journalize and post the closing entries 8. Prepare a post-closing trial balance as of December 31
