ACCOUNTING 2301Mid-Term ProjectApplying the Accounting CycleOn April 1, 2023, Pat started a new travel agency, Adventure Travel. The following transactions occurredduring the month of April:April 1--Pat invested $30,000 cash and computer equipment worth $20,000 in the company in exchangefor common stock.April 2The company paid $1,800 cash for the firsts month rent.April 3The company purchased $1,000 of office supplies.April 10The company paid $2,400 cash for the premium on a 12-month insurance policy. Coveragebegan on April 11.April 15The company billed a customer for $1,750 for commissions earned.April 14The company paid $1,600 cash for two weeks salaries earned by the employees.April 24The company collected $8,000 cash on commissions earned.April 28The company paid $1,600 cash for two weeks salaries earned by the employees.April 28The company paid $350 cash for computer repairs.April 30The company paid $750 cash for Aprils telephone bill.April 30The company paid $1,500 cash in dividends.ADVENTURE TRAVEL CHART OF ACCOUNTS:101 Cash 405 Commissions earned106 Accounts receivable 612 Depreciation expense124 Office supplies 622 Salaries expense128 Prepaid insurance 637 Insurance expense167 Computer equipment 640 Rent expense168 Accumulated depreciation 650 Office supplies expense209 Salaries payable 684 Repairs expense307 Common stock 688 Telephone expense318 Retained earnings 901 Income summary319 Dividends1. Prepare the journal entries for the above transactions and post to T-Accounts.2. Prepare the unadjusted trial balance as of April 30.

Use the following information to journalize and post adjusting entries for the month:a. Two thirds ($133) of the months insurance has expired.b. At months end $600 of office supplies are still available.c. Aprils depreciation on the computer equipment is $500.d. Employees earned $420 of unpaid and unrecorded salaries on April 30.3. Prepare the adjusted trial balance.4. Prepare the Income Statement, Statement of Retained Earnings for April , and the BalanceSheet as of April 30, 2023.5. Prepare journal entries to close the temporary accounts.**NoteAfter performing the above requirements, you can earn 50 points for a correct Net IncomeStatement, and 50 points for correctly calculating the total net Assets on the Balance Sheet as of April30, 2023. That means that you can earn a total of 100 points for the Mid-Term Project. Your answersmust be correct or no points will be given.