a) 27 27 28 Paid $236 for Internet and phone services for March. Declared and paid a cash dividend of $0.20 per share. Your answer is correct. Journalize the February transactions. (Credit account titles are automatically indented when 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. Record journal entries in the order presented in the problem.) Date Account Titles and Explanation Feb. 1 Cash Common Stock Paid-in Capital in Excess of Par-Common Stock (To record issuance of common stock in excess of par) Feb. 1 Cash Notes Payable Debit 15600 9600 Credit 9000 6600 9600 Feb. 1 Feb. 1 Feb. 3 (To record issuance of notes payable) Equipment Cash (To record purchase of equipment) Utilities Expense Cash (To record payment of internet and phone services) Supplies Accounts Payable Feb. 4 No Entry Feb. 5 No Entry Prepaid Insurance Cash (To record payment of insurance) 10820 236 1180 2175 10820 236 1180 2175 Feb. 5 Cash Feb. 16 4740 Loss on Disposal of Plant Assets 300 Equipment (To record sale of equipment) Accounts Receivable Service Revenue Feb. 17 Cash Unearned Service Revenue Feb. 18 Accounts Payable Cash Feb. 20 Treasury Stock Cash 4680 648 360 1080 Feb. 23 Accounts Receivable 5160 Service Revenue 5040 4680 648 360 1080 5160 Feb. 24 Salaries and Wages Expense 4640 Cash Feb. 25 Cash Accounts Receivable Feb. 27 Prepaid Expenses Cash 3000 236 Feb. 28 Cash Dividends 1128 Cash 4640 3000 236 1128 Post to the ledger accounts. (Post entries in the order of journal entries presented above.) 2/1 Cash 15600 2/1 10820 2/1 9600 2/1 236 2/5 4740 2/5 2175 2/17 648 2/18 360 2/25 3000 2/20 1080 2/28 Bal. 12913 2/24 4640 2/27 236 2/28 1128 Accounts Receivable 2/16 4680 2/25 3000 2/23 5160 2/3 1180 Supplies Prepaid Insurance 2/5 2175 2/27 Prepaid Expenses 236 2/28 Bal. 236 Equipment 2/1 10820 2/5 5040 Accounts Payable 2/18 360 2/3 1180 2/28 Notes Payable 2/1 Unearned Service Revenue 2/17 Common Stock 2/1 Paid in Capital in Excess of Par-Common Stock 2/1 Cash Dividends 1128 Treasury Stock 2/20 1080 9600 648 9000 6600 2/1 Service Revenue 2/16 4680 2/23 5160 Utilities Expense 236 2/24 Salaries and Wages Expense 4640 2/5 Loss on Disposal of Plant Assets 300 Prepare a trial balance at February 28, 2025. KINGBIRD CLEANING SERVICES INC. Trial Balance Cash Accounts Receivable Supplies Prepaid Insurance Prepaid Expenses Equipment Accounts Payable Notes Payable Unearned Service Revenue Common Stock February 28, 2025 Paid-in Capital in Excess of Par-Common Stock Cash Dividends LA Debit 12913 6840 1180 2175 236 5780 +A 1128 Credit 820 9600 648 9000 6600 Treasury Stock Service Revenue Utilities Expense Salaries and Wages Expense Loss on Disposal of Plant Assets Totals 1080 236 4640 300 9840 $ 36508 $ 36508 Post adjusting entries to the T-accounts. (Post entries in the order of journal entries presented above.) Cash 2/1 2/1 2/5 4,740 2/5 15,600 2/1 9,600 2/1 10,820 236 2,175 2/17 648 2/18 360 2/25 3,000 2/20 1,080 2/24 4,640 2/27 236 2/28 1,128 2/28 Bal. 12,913 2/16 2/23 2/28 Accounts Receivable 4,680 2/25 3,000 5,160 2/28 240 4500 2/28 Bal. 11100 2/3 Supplies 1,180 2/28 700 2/28 Bal. 480 2/5 Prepaid Insurance 2,175 2/28 725 2/28 Bal. 1450 2/27 2/28 Bal. 2/28 Prepaid Expenses 236 236 Allowance for Doubtful Accounts 240 2/28 573 2/28 Bal. 333 2/1 2/28 Bal. Equipment 10,820 2/5 5780 Accumulated Depreciation - Equipment 2/28 5,040 110 2/28 Bal. 110 2/18 Accounts Payable 360 2/3 1,180 2/28 Bal. 820 Notes Payable 2/1 9,600 2/28 Bal. 9600 Salaries and Wages Payable 2/28 2320 2/28 Bal. 2320 2/28 Interest Payable 2/28 48 2/28 Bal. 48 Income Taxes Payable 2/28 970 2/28 Bal. 970 Unearned Service Revenue 162 2/17 648 2/28 Bal. 486 Common Stock 2/1 2/28 Bal. Paid in Capital in Excess of Par-Common Stock 2/1 2/28 Bal. 9,000 9000 6,600 6600 2/28 2/20 Cash Dividends 1,128 Treasury Stock 1,080 2/28 Bal. 1080 2/1 2/24 2/28 > Service Revenue 2/16 4,680 2/23 2/28 5,160 4500 2/28 Bal. 14340 Utilities Expense 236 Salaries and Wages Expense 4,640 2320 Insurance Expense 2/28 725 2/28 2/28 Depreciation Expense 110 Bad Debt Expense 573 2/28 2/28 2/5 2/28 Supplies Expense 700 Interest Expense 48 Loss on Disposal of Plant Assets 300 Income Tax Expense 970 Cash Accounts Receivable Supplies Prepaid Insurance Prepaid Expenses Allowance for Doubtful Accounts Equipment Accumulated Depreciation-Equipment Accounts Payable Notes Payable Salaries and Wages Payable Interest Payable Income Taxes Payable KINGBIRD CLEANING SERVICES INC. Adjusted Trial Balance February 28, 2025 $ Debit 12913 11100 480 1450 236 5780 SA Credit 333 110 820 9600 2320 48 970 Unearned Service Revenue Common Stock Paid-in Capital in Excess of Par-Common Stock Cash Dividends Treasury Stock Service Revenue Utilities Expense Salaries and Wages Expense Insurance Expense Depreciation Expense Bad Debt Expense Supplies Expense Interest Expense Loss on Disposal of Plant Assets Income Tax Expense Total 1128 1080 162 236 725 110 573 700 48 300 970 486 9000 6600 2320 $ 37991 $ 32607 Service Revenue Operating Expenses Bad Debt Expense Salaries and Wages Expense Utilities Expense Supplies Expense Insurance Expense Depreciation Expense Total Operating Expenses Income from Operations Interest Expense KINGBIRD CLEANING SERVICES INC. Income Statement For the Month Ending February 28, 2025 $ 573 i 6,960 i 236 i 700 i 725 i 110 i +A 14,502 9,304 i 5,198 48 i Loss on Disposal of Plant Assets 300 i 348 i Income before Income Taxes Income Tax Expense Net Income/(Loss) 4,850 970 i +A $ 3,880 Prepare a retained earnings statement as of February 28, 2025. (List items that increase retained earnings first.) KINGBIRD CLEANING SERVICES INC. Retained Earnings Statement For the Month Ending February 28, 2025 Retained Earnings, February 1 +A Add Net Income/(Loss) Less Dividends Retained Earnings, February 28 +A $ 3880 1128 i 2752 Prepare a properly classified balance sheet as of February 28, 2025. (List Current Assets in order of liquidity.) KINGBIRD CLEANING SERVICES INC. Balance Sheet February 28, 2025 Assets Current Assets Cash Accounts Receivable Less Allowance for Doubtful Accounts Prepaid Expenses Prepaid Insurance Supplies Total Current Assets Property, Plant, and Equipment Equipment > Less Accumulated Depreciation-Equipment Total Assets Current Liabilities Accounts Payable Salaries and Wages Payable Interest Payable Income Taxes Payable Unearned Service Revenue Total Current Liabilities Long-term Liabilities Notes Payable Total Liabilities Stockholders' Equity Common Stock Paid-in Capital in Excess of Par-Common Stock +A Liabilities and Stockholders' Equity 9,000 6,600 LA $ Retained Earnings Less Treasury Stock Total Stockholders' Equity Total Liabilities and Stockholders' Equity Journalize closing entries. (Credit account titles are automatically indented when 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.) Date Account Titles and Explanation Feb. 28 Service Revenue Debit 14502 Credit Income Summary (To close revenue account) Feb. 28 Income Summary Utilities Expense Salaries and Wages Expense Insurance Expense Depreciation Expense Bad Debt Expense Supplies Expense Interest Expense Loss on Disposal of Plant Assets Income Tax Expense (To close expense accounts) 10622 14502 236 6960 725 110 573 700 48 300 970 Feb. 28 Income Summary Feb. 28 Retained Earnings (To close net income/(loss)) Retained Earnings Cash Dividends (To close dividends) 3880 1128 3880 1128 Post closing entries to the T-accounts. (Post entries in the order of journal entries presented above. For accounts that have zero ending balance, the entry should be the balance date and zero for the amount on the normal side of the account.) Cash 2/1 15,600 2/1 10,820 2/1 9,600 2/1 236 2/5 4,740 2/5 2,175 2/17 648 2/18 360 2/25 3,000 2/20 1,080 2/24 4,640 2/27 236 2/28 1,128 2/28 Bal. 12,913 Accounts Receivable 2/16 4,680 2/25 3,000 2/23 5,160 2/28 240 2/28 4,500 2/28 Bal. 11,100 Supplies 1,180 2/28 2/3 2/28 Bal. 480 700 2/5 2/28 Bal. Prepaid Insurance 2,175 2/28 1,450 Prepaid Expenses 236 2/27 2/28 Bal. 2/28 236 Allowance for Doubtful Accounts 240 2/28 2/1 2/28 Bal. 2/28 Bal. Equipment 10,820 2/5 5,780 Accumulated Depreciation - Equipment 2/18 2/28 2/28 Bal. Accounts Payable 725 573 333 5,040 110 110 360 2/3 1,180 2/28 Bal. 820 Notes Payable 2/1 9,600 2/28 Bal. 9,600 Salaries and Wages Payable 2/28 2,320 2/28 Bal. 2,320 Interest Payable 2/28 48 2/28 Bal. 48 Income Taxes Payable 2/28 2/28 Bal. 970 970 Unearned Service Revenue 2/28 162 2/17 648 2/28 Bal. 486 Common Stock 2/1 2/28 Bal. Paid in Capital in Excess of Par-Common Stock 2/1 2/28 Bal. 9,000 9,000 6,600 6,600 2/28 Cash Dividends 1,128 2/20 2/28 Bal. Treasury Stock 1,080 1,080 Retained Earnings Income Summary 2/1 > > Service Revenue 2/16 4,680 2/23 5,160 2/28 4,500 2/28 Utilities Expense 236 2/24 Salaries and Wages Expense 4,640 2/28 2,320 162 2/28 Insurance Expense 725 2/28 Depreciation Expense 110 2/28 Bad Debt Expense 573 2/28 Supplies Expense 700 2/28 Interest Expense 48 2/5 Loss on Disposal of Plant Assets 300 2/28 Income Tax Expense 970