After the success of the company's first two months, Santana Rey continues to operate Business Solutions. The November 30, 2017 unadjusted trial balance of Business Solutions (reflecting its transactions for October and November of 2017) follows. No. Account Title Debit $ 38,664 Credit d 101 Cash 106 126 Accounts receivable Computer supplies Prepaid insurance Prepaid rent Office equipment Accumulated depreciation-office equipment Computer equipment Accumulated depreciation-Computer equipment Accounts payable Wages payable Unearned computer services revenue s. Rey, Capital s. Rey, Withdrawals Computer services revenue Depreciation expense-office equipment Depreciation expense-Computer equipment Wages expense Insurance expense 13,318 2,645 1,920 3, 280 8,300 128 131 163 164 167 21,200 168 201 210 236 301 70,000 302 403 6,000 31,304 612 613 623 2,600 637 640 Rent expense 0 652 Computer supplies expense Advertising expense Mileage expense Miscellaneous expenses Repairs expense-Computer C 655 676 1,718 694 230 677 735 684 $101,304 $101,304 Totals Business Solutions had the following transactions and events in December 2017 2 Paid $950 cash to Hi1lside Mall for Business Solutions' share of mall advertising costs. 3 Paid $480 cash for minor repairs to the company's computer. 4 Received $4,150 cash from Alex's Engineering Co. for the receivable from November. 10 Paid oash to Lyn Addie for six days of vork at the rate of $120 per day. 14 Notified by Alex's Engineering Co. that Business Solutions bid of $7,300 on a proposed project has been Dec. 15 Purchased $1,200 of computer supplies on credit from Harris office Products. 16 Sent a reminder to Gomez Co. to pay the fee for services recorded on November 8. 20 Completed a project for Liu Corporation and received $6,175 cash. 22-Took the week off for the holidays. 26 28 Received $3,400 cash from Gomez Co. on its receivable. 29 Reinbursed S. Rey for business automobile nileage (500 miles at $0.25 per mile) 31 S. Rey withdrew $1,300 cash from the company for personal use. ped The following additional facts are collected for use in making adjusting entries prior to preparing financial statements for the company's first three months: ok 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 $120 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 wih no salvage value. Three of the four months' prepaid rent has 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 f. 2-b. Post the journal entries to record each of the December transactions, adjusting entries to the accounts in the ledger 3. Prepare an adjusted trial balance as of December 31, 2017 4. Prepare an income statement for the three months ended December 31, 2017 5. Prepare a statement of owner's equity for the three months ended December 31, 2017 6. Prepare a balance sheet as of December 31, 2017 Complete this question by entering your answers in the tabs below. Req 1 Reg 2A Req 2B Req 3 Req 4 Reg 5 Req 6 Complete this question by entering your answers in the tabs below. Req 5 Req 6 Req 2B Req 3 Req 4 Req 1 Req 2A Prepare an income statement for the three months ended December 31, 2017. BUSINESS SOLUTIONS Income Statement For Three Months Ended December 31, 2017 Revenue Expenses I Total expenses Complete this question by entering your answers in the tabs below. Req 6 Req 3 Req 5 Req 1 Req 2A Req 2B Req 4 Prepare a statement of owner's equity for the three months ended December 31, 2017 BUSINESS SOLUTIONS Statement of Owner's Equity For Three Months Ended December 31, 2017 S. Rey, Capital, October 1, 2017 0 S. Rey, Capital, December 31, 2017 Req 6 Req 4 www. Prepare a balance sheet as of December 31, 2017. BUSINESS SOLUTIONS Balance Sheet December 31, 2017 Assets 0 Total assets Liabilities Total liabilities Equity Total liabilities and equity After the success of the company's first two months, Santana Rey continues to operate Business Solutions. The November 30, 2017 unadjusted trial balance of Business Solutions (reflecting its transactions for October and November of 2017) follows. No. Account Title Debit $ 38,664 Credit d 101 Cash 106 126 Accounts receivable Computer supplies Prepaid insurance Prepaid rent Office equipment Accumulated depreciation-office equipment Computer equipment Accumulated depreciation-Computer equipment Accounts payable Wages payable Unearned computer services revenue s. Rey, Capital s. Rey, Withdrawals Computer services revenue Depreciation expense-office equipment Depreciation expense-Computer equipment Wages expense Insurance expense 13,318 2,645 1,920 3, 280 8,300 128 131 163 164 167 21,200 168 201 210 236 301 70,000 302 403 6,000 31,304 612 613 623 2,600 637 640 Rent expense 0 652 Computer supplies expense Advertising expense Mileage expense Miscellaneous expenses Repairs expense-Computer C 655 676 1,718 694 230 677 735 684 $101,304 $101,304 Totals Business Solutions had the following transactions and events in December 2017 2 Paid $950 cash to Hi1lside Mall for Business Solutions' share of mall advertising costs. 3 Paid $480 cash for minor repairs to the company's computer. 4 Received $4,150 cash from Alex's Engineering Co. for the receivable from November. 10 Paid oash to Lyn Addie for six days of vork at the rate of $120 per day. 14 Notified by Alex's Engineering Co. that Business Solutions bid of $7,300 on a proposed project has been Dec. 15 Purchased $1,200 of computer supplies on credit from Harris office Products. 16 Sent a reminder to Gomez Co. to pay the fee for services recorded on November 8. 20 Completed a project for Liu Corporation and received $6,175 cash. 22-Took the week off for the holidays. 26 28 Received $3,400 cash from Gomez Co. on its receivable. 29 Reinbursed S. Rey for business automobile nileage (500 miles at $0.25 per mile) 31 S. Rey withdrew $1,300 cash from the company for personal use. ped The following additional facts are collected for use in making adjusting entries prior to preparing financial statements for the company's first three months: ok 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 $120 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 wih no salvage value. Three of the four months' prepaid rent has 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 f. 2-b. Post the journal entries to record each of the December transactions, adjusting entries to the accounts in the ledger 3. Prepare an adjusted trial balance as of December 31, 2017 4. Prepare an income statement for the three months ended December 31, 2017 5. Prepare a statement of owner's equity for the three months ended December 31, 2017 6. Prepare a balance sheet as of December 31, 2017 Complete this question by entering your answers in the tabs below. Req 1 Reg 2A Req 2B Req 3 Req 4 Reg 5 Req 6 Complete this question by entering your answers in the tabs below. Req 5 Req 6 Req 2B Req 3 Req 4 Req 1 Req 2A Prepare an income statement for the three months ended December 31, 2017. BUSINESS SOLUTIONS Income Statement For Three Months Ended December 31, 2017 Revenue Expenses I Total expenses Complete this question by entering your answers in the tabs below. Req 6 Req 3 Req 5 Req 1 Req 2A Req 2B Req 4 Prepare a statement of owner's equity for the three months ended December 31, 2017 BUSINESS SOLUTIONS Statement of Owner's Equity For Three Months Ended December 31, 2017 S. Rey, Capital, October 1, 2017 0 S. Rey, Capital, December 31, 2017 Req 6 Req 4 www. Prepare a balance sheet as of December 31, 2017. BUSINESS SOLUTIONS Balance Sheet December 31, 2017 Assets 0 Total assets Liabilities Total liabilities Equity Total liabilities and equity