After its first year of operation, Tech Inc. presented the following financial reports:

Tech Inc.

Balance Sheet as of December 31, 2011

Assets
Cash		$336,700
Accounts Receivable		$160,300
Merchandise Inventory		$65,200
Prepaid Rent		$4,000
Store Equipment	$14,000
Less: Accumulated Depreciation	$100	$13,900
Total Assets		$580,100
Liabilities
Accounts Payable		$16,200
Unearned Income on Rentals		$6,000
Notes Payable (Long-Term)		$100,000
Total Liabilities		$122,200
Stockholders Equity
Common Stock 100,000 shares; $4 par value		$400,000
Retained Earnings		$57,900
Total Stockholders Equity		$457,900
Total Liabilities and Stockholders Equity		$580,100

Tech Inc.

Income Statement for the twelve months ended December 31, 2011

Sales Revenue		$150,000
Rent Revenues		$10,000
Cost of Goods Sold	$100,000
Rent Expense	$2,000
Depreciation	$100
Total Expense		$102,100
Net Income		$57,900

Tech Inc. Statement of Retained Earnings

Retained Earnings as of January 1, 2011		$ -
Net Income for year		$57,900
Total		$57,900
Dividends Declared		$ -
Retained Earnings as of December 31, 2011		$57,900

Tech Inc.

Statement of Cash Flows for the Year ended December 31, 2011

Cash Flow from Operating Activities
Net Income	$57,900
Adjustment for Depreciation	$100
Increase in Accounts Receivable	$(160,300)
Increase in Inventory	$(65,200)
Increase in Prepaid Rent	$(4,000)
Increase in Accounts Payable	$16,200
Increase in Unearned Income	$6,000
		$(149,300)
Cash Flow from Investing Activities
Increase in Store Equipment	$(14,000)
		$(14,000)
Cash Flow from Financing Activities
Increase in Notes Payable	$100,000
Sale of Common Stock	$400,000
Dividends Paid	$ -
		$500,000
Net Change in Cash	$336,700
Cash Balance December 31, 2010	$ -
Cash Balance December 31, 2011	$336,700

The following transactions occurred in 2012:

1/7/2012: Collected $80,000 on Accounts Receivable

1/15/2012: Sold an additional 100,000 shares at $5 per share

2/1/2012: Made a sale of $90,000 on account. Cost of inventory sold was $65,000

2/15/2012: Bought merchandise inventory for $70,000 cash

3/1/2012: Paid vendors $16,000 cash on Accounts Payable

6/30/2012: Made payment of $25,000 on Notes Payable

7/1/2012: Purchased $10,000 worth of store equipment for cash

11/30/2012: Made a sale of merchandise for $50,000 cash which reduced inventory $30,000

12/15/2012: Declared and paid a $20,000 dividend to shareholders

12/31/2012: Recorded $3,000 rent income from unearned income

12/31/2012: Recorded depreciation for year on equipment of $1,000

12/31/2012: Recorded expiration of 1-year prepaid rent expense for $2,000

12/31/2012: Sold equipment for $1,000 cash which cost $1,000 when purchased new. The equipment was sold before recording any depreciation.

Required: Post the following transactions to T-Accounts then prepare 12/31/2012 Balance Sheet, Income Statement, Statement of Retained Earnings, and Statement of Cash Flow.