Accounting Cycle Review Problem BILL RUSSELL REBOUNDS On May 1, 20XX, Bill Russell Rebounds had the following account balances. Cash Accounts Receivable Prepaid Insurance Supplies Buildings Trademarks Debit $ 2,600 11,100 1,800 15,100 72,400 16,800 $ 119,800 Accumulated Depreciation Notes Payable Accounts Payable Unearned Revenue Common Stock Retained Earnings Credit $ 38,400 9,000 4,800 3,300 60,000 4,300 $ 119,800 During May, the following transactions occurred. May-03 Received a $5,400 customer cash advance for services to be performed subsequent months May-08 Collected $4,600 of outstanding account receivable from customers. May-12 Purchased $800 of supplies on account. May-15 Performed services for a customer for which the customer paid $7,500. May-21 Performed services for a customer for which Bill Russell billed the customer $9,000. May-24 Borrowed $8,000 by issuing a notes payable. May-25 Paid salaries of $2,800 for the month. May-28 Paid utilities of $1,300 for the month. May-30 Declared and paid a $1,000 dividend. Instructions: Perform the following steps in the Excel workbook in chronological order. 1 Journalize the month's transactions. Use only accounts that appear in Bill Russell Rebounds' general ledger. Omit journal entry descriptions. 2 Post the month's journal entries to the general ledger. Omit post references. 3 Prepare an (unadjusted) trial balance at the end of the month. 4 Journalize and post the following adjusting entries for the month: a. $360 of insurance expired during the month. b. Unearned revenue at the end of the previous month was earned. C. Depreciation for the month is $280. d. $240 of interest accrued on the notes payable. 5 Prepare an adjusted trial balance at the end of the month. 6 Prepare financial statements: a. Income statement [hint: net income = $14,820] b. Statement of retained earnings C. Balance sheet 7 Journalize and post closing entries for the month. 8 Prepare a post-closing trial balance at the end of the month. 9 Check all work against the rubric and ensure that no absolute criteria are violated