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After the success of the company's first two months, Santana Rey continues to operate Business Solutions. The November 30, 2019 unadjusted trial balance of Business

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After the success of the company's first two months, Santana Rey continues to operate Business Solutions. The November 30, 2019 unadjusted trial balance of Business Solutions (reflecting its transactions for October and November of 2019) follows. No. Credit Debit $ 38,464 13,418 2,645 1,980 3,000 8,700 $ 0 23,200 201 Account Title 101 Cash 106 Accounts receivable 126 Computer supplies 128 Prepaid insurance 131 Prepaid rent 163 office equipment 164 Accumulated depreciation-office equipment 167 Computer equipment 168 Accumulated depreciation-Computer equipment Accounts payable 210 Wages payable 236 Unearned computer services revenue 307 Common stock 318 Retained earnings Dividends 403 Computer services revenue 612 Depreciation expense-Office equipment 613 Depreciation expense-Computer equipment 623 Wages expense 637 Insurance expense 640 Rent expense 652 Computer supplies expense 655 Advertising expense 676 Mileage expense 677 Miscellaneous expenses Repairs expense-Computer Totals 0 0 0 0 66,000 0 319 5,900 36,874 0 0 2,400 0 0 684 1,628 644 170 725 $102,874 $102,874 Dec Business Solutions had the following transactions and events in December 2019, 2 Paid 5935 cash to Hillside Mall for Business Solutions share of mall advertising costs. Pald 5430 cash for minor repairs to the company's computer. 4 Received $4.450 cash from Alex's Engineering Co. for the receivable from November 10 Paid cash to Lyn Addle for six days of work at the rate of $110 per day. 14 Notified by Alex'a Ingineering Co. that Business Solutions bid of $7,700 on a proposed project has been accepted. Alex's paid a $1,700 cash advance to Business Solutions. 15 Purchased $1,400 of computer supplies on credit from Harris Office Products 16 Sent a reminder to Gomes Co. to pay the fee for services recorded on November 8. 20 Completed a project for Liu Corporation and received $5,925 cash. 22- Took the week oft for the holidays. 26 28 Received $3,300 cash from Gone Co. on its receivable. Business Solutions had the following transactions and events in December 2019. Dec. 3:15 2 Paid $935 cash to Hillside Mall for Business Solutions' share of wall advertising costs. 3 Paid $430 cash for minor repairs to the company's computer. 4 Received $4,450 cash fron Alex's Engineering Co. for the receivable from November. 10 Paid cash to Lyn Addie for six days of work at the rate of $110 per day. 14 Notified by Alex's Engineering Co. that business Solutions' bid of $7,700 on a proposed project has been accepted. Alex's paid a $1,700 cash advance to Business Solutions. 15 Purchased $1,400 of computer supplies on credit from Harris Office Products 16 Sent a reminder to Gomes Co. to pay the fee for services recorded on November 8. 20 Completed a project for Liu Corporation and received $5,925 cash. 22- Took the week off for the holidays. 26 28 Received $3,300 cash from Gomes Co. on its receivable 29 Reimbursed S. Ray for business automobile mileage (500 miles at $0.29 per mile) 31 The company paid $1,000 cash in dividends. The following additional facts are collected for use in making adjusting entries prior to preparing financial statements for the company's first three months. a. The December 31 inventory count of computer supplies shows $610 still available. b. Three months have expired since the 12-month insurance premium was paid in advance. c. As of December 31, Lyn Addie has not been paid for four days of work at $110 per day. d. The computer system, acquired on October 1, is expected to have a four-year life with no salvage value. e. The office equipment, acquired on October 1, is expected to have a five-year life with no salvage value Three of the four months prepaid rent have expired. Required: 1. Prepare journal entries to record each of the December transactions and events for Business Solutions. 2-a. Prepare adjusting entries to reflect a through 2-b. Post the journal entries to record each of the December transactions from Requirement and adjusting entries from Requirement 2A. After completing Requirement 7 post the closing entries to the general ledger accounts 3. Prepare an adjusted trial balance as of December 31, 2019 4. Prepare an income statement for the three months ended December 31, 2019, 5. Prepare a statement of retained eamings for the three months ended December 31, 2019 6. Prepare a balance sheet as of December 31, 2019 7. Record the necessary closing entries as of December 31, 2019 and then post the closing entries to the general ledger in Requirement 28 8. Prepare a post-closing trial balance as of December 31, 2019. Cmnet

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