5-On December 1, 2012, Shiras Distributing Company had the following account balances.

During December, the company completed the following summary transactions.

Dec. 6 Paid $1,600 for salaries due employees, of which $600 is for December

and $1,000 is for November salaries payable.

8 Received $1,900 cash from customers in payment of account (no discount

allowed).

10 Sold merchandise for cash $6,300. The cost of the merchandise sold

was $4,100.

13 Purchased merchandise on account from Gong Co. $9,000, terms 2/10,

n/30.

15 Purchased supplies for cash $2,000.

18 Sold merchandise on account $12,000, terms 3/10, n/30. The cost of

the merchandise sold was $8,000.

20 Paid salaries $1,800.

23 Paid Gong Co. in full, less discount.

27 Received collections in full, less discounts, from customers billed on

December 18.

Adjustment data:

1. Accrued salaries payable $800.

2. Depreciation $200 per month.

3. Supplies on hand $1,500.

4. Income tax due and unpaid at December 31 is $200.

Journalize the transactions.

Prepare BS, CF(using indirect method) and IS.

Please explain all steps detally.How and with the help of which rule did you solve this exercise.Also answer to all questions.

Credits Cash Accounts Receivable Inventory Supplies Equipment Debits $ 7,200 4,600 12,000 1,200 22,000 $47,000 Accumulated Depreciation- Equipment Accounts Payable Salaries and Wages Payable Common Stock Retained Earnings $ 2,200 4,500 1,000 15,000 24,300 $47,000