5. Post adjusting entries to the T-accounts.

6. Prepare an adjusted trial balance.

7. Prepare the income statement for March.

8. Prepare a retained earnings statement for March. (List items that increase retained earnings first.)

9. Prepare a classified balance sheet at March 31. (List Current Assets in order of liquidity.)

10. Journalize and post closing entries and complete the closing process. (Credit account titles are

Lars Linken opened Ayayai Cleaners on March 1, 2022. During March, the following transactions were completed. Mar. 1 Issued 12,000 shares of common stock for $18,000 cash. 1 Borrowed $7,200 cash by signing a 6-month, 6%, $7,200 note payable. Interest will be paid the first day of each subsequent month. 1 Purchased used truck for $9,600 cash. 2 Paid $1,800 cash to cover rent from March 1 through May 31. 3 Paid $3,000 cash on a 6-month insurance policy effective March 1. 6 Purchased cleaning supplies for $2,400 on account. 14 Billed customers $4,440 for cleaning services performed. 18 Paid $600 on amount owed on cleaning supplies. 20 Paid $2,100 cash for employee salaries. 21 Collected $1,920 cash from customers billed on March 14. 28 Billed customers $5,040 for cleaning services performed. 31 Paid $420 for gas and oil used in truck during month (use Maintenance and Repairs Expense). 31 Declared and paid a $1,080 cash dividend. The chart of accounts for Ayayai Cleaners contains the following accounts: Cash, Accounts Receivable, Supplies, Prepaid Insurance, Prepaid Rent, Equipment, Accumulated Depreciation Equipment, Accounts Payable, Salaries and Wages Payable, Notes Payable, Interest Payable, Common Stock, Retained Earnings, Dividends, Income Summary, Service Revenue, Maintenance and Repairs Expense, Supplies Expense, Depreciation Expense, Insurance Expense, Salaries and Wages Expense, Rent Expense, and Interest Expense. Journalize the following adjustments. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter o for the amounts.) 1 Services performed but unbilled and uncollected at March 31 was $240. 2. Depreciation on equipment for the month was $300. 3. One-sixth of the insurance expired. 4. An inventory count shows $340 of cleaning supplies on hand at March 31. 5. Accrued but unpaid employee salaries were $1,300. 6. One month of the prepaid rent has expired. 7. One month of interest expense related to the note payable has accrued and will be paid April 1. Sr. Date Account Titles and Explanation Debit Credit 1. 2. 3. 4. 5. 6. 7