As a recently hired accountant for a small business, Integrated Health Services,Inc.,you are provided with last year's balance sheet,income statement, and post-closing trial balance to familiarize yourself with the business.

San Juan Health Services,Inc.

Balance Sheet

December 31,2018

Assets

Cash

Account Receivable.

Inventory

Supplies.

Total Assets.

Liabilities and Stockholders'Equity

Liabilities:

Account Payable

Salaries Payable

Income Taxes payable

Total Liabilities.

Stockholders' Equity:

Capital Stock (10,shares outstanding)

Retained earnings

Total Stockholders'equity

Totals Liabilities and Stockholders' equity.

$ 22,100

27,000

13,500

600

$63,200

17,000

3,500

3,200

$23,700

$20,000

19,500

$39,500

$63,200

Integrated Health Services,Inc.

Income Statements

For the Year Ended December 31, 2018

Sales revenues.

$143,000

Rent revenues.

Total revenues..

4,000

$147,000

Less cost of goods sold.

Gross margin..

Less operating expenses:

Supplies expense..

Salaries expense..

Miscellaneous expense.

Income before taxes.

Less income taxes.

Net Income.

Earnings per share ($15,210/ 10,000 shares).

Integrated Health Services,Inc.

Post-Closing Trial Balance

December 31,2018

85,000

$ 62,000

1,200

$

31,000

$ 38,600

6,400

$ 23,400

8,190

$15,210

$ 1.52

Cash.

Account Receivable.

Inventory....

Supplies.

Account Payable.

Salaries Payable.

Income Taxes Payable.

Capital Stock..

Retained Earnings.

Totals.

Debit

$22,100

27,000

13,500

600

$63,200

Credits

$17,000

3,500

3,200

20,000

19,500

$63,200

a. Issued 6,000 additional shares capital stock for $30,000 cash.

Borrowed $10,000 on January 2, 2018,from Metropolis Bank as a long-term Ioan.Interest for the yearis $700, payable on January 2,2019.

b.

b.

C. Paid $5, 100 cash on September 1 to lease a truck for six month's rent.

d. Received $1,800 on November 1 from a tenant for six month's rent.

e. Paid $900 on December 1 for a one-year insurance policy.

f. Purchased $250 of supplies for cash.

g. Purchased inventory for $80,000 on account.

h. Sold inventory for $105,000 on account;cost of the merchandise sold was $60,000.

i. Collected $95,000 cash from customers' accounts receivable

j. Paid $65,000 cash for inventories purchased during the year.

k. Paid $34,000 for sales rep's salaries, including $3,500 owed at the beginning of 2019.

1. No dividends were paid during the year.

m. The income taxes payable for 2019 were paid.

n. For adjusting entries, all prepaid expenses are initially recorded as assets,and all unearned revenues are initially recorded as liabilities.

o. At year-end, $400 worth of supplies are on hand.

p. At year-end,an additional $4,000 of sales salaries are owed, but have not yet been paid.

q. Income tax expense is based on a 35% corporate tax rate.

1. Journalize the transactions for the current year, 2019, using the accounts listed on the financial statements and other appropriate accounts (omit explanations).

2. Post the ledger-account for all accounts including the post-closing trial balance for Bearing,Inc.

3. Journalize and post any necessary adjusting entries at the end of 2019 (Hint: Items b, c, d, e, m, o, and p require adjustments).

4. After the adjusting entries are posted, prepare a trial balance, a balance sheet, and an Income statement for 2019 (Hint: Income before income taxes should equal $8,175.).Report the Financial Statements separated.

5. Journalize and post closing entries for 2019 and prepare a post-closing trial balance.

The following information summarizes the business activity for the year, 2019 . Complete the following: The following information summarizes the business activity for the year, 2019 . Complete the following