At the end of $2019,$ Steve$$s Outdoor Adventure Shop published the following balance sheet:

Assets

Current Assets

cash $132,000$

AR $24225$

Merchandise inventory $36850$

prepapid advertising $4000$

total current assets: $197075$

Liabilities and shareholders equity

current liabilites

AP $14,500$

Salaries Payable $3000$

Customer deposits $650$

bank loan $30,000$

total current liabilites $48,150$

SHareholder Equity

common stock $10,000$

APIC $116500$

RE $22425$

Total shareholders equity $148925$

TOtal lia and Se: $197075$

The Shop had the following transactions for $2020$:

$1.$ On January $2$nd$,$ Steve issued $3,000$ shares of stock for $$15$ each. Par value was $$1$ per share.

$2.$ On January $2,$ Steve purchased store fixtures for $$10,000$ in cash. They have a useful life of $10$ years and an estimated salvage value of $$1,200.$

$3.$ On January $3,$ Steve paid his merchandise suppliers for what he owed them at the end of the year.

$4.$ Steve also paid employees what he owed them.

$5.$ The prepaid advertising was for radio and newspaper ads to make customers aware of The Shop$$s after Christmas sale. All of the ads ran in the first week of January.

$6.$ Steve received the $$650$ deposit in December $2019$ for a custom$-$made kayak that he is to deliver in February. On February $10,$ the customer picked up the kayak and paid the remaining $$1,350$ of the purchase price.

$7.$ By March $31,$ Steve had collected all the amounts due to The Shop from customers who purchased items on credit in $2019.$

$8.$ Steve recorded $$305,000$ in sales $($in addition to the custom kayak$).$ Of this amount, $$30,000$ was still due to The Shop from customers on December $31.$

$9.$ Steve believes that all but $$2,000$ of the amount due to The Shop will probably be collected.

$10.$ The Shop purchased $$280,000$ in merchandise during the year. Steve still owed suppliers $$20,000$ for these purchases at the end of the year.

$11.$ A count of inventory at year end showed items still in the store valued at $$136,850.$

$12.$ The Shop paid cash for the following expenses during the year $($in addition to any other transactions noted$)$:

Advertising $$6,000$

Rent $40,000$

Salaries $27,500$

Utilities $4,550$

$$78,050$

$13.$ The bank loan is at $5\%$ and was originally due on December $31,2020.$ Steve paid the bank half of the principal on the due date and negotiated with the bank to pay the remainder in March of $2021.$

$14.$ Steve also paid the bank all the interest owed for $2020.($How much money did he use and for how long?$)$

$15.$ The Shop owes employees $$2,500$ for salaries at the end of December.

$16.$ The Shop declared a dividend of $$5,000$ on December $30.$

$17.$ Make any additional entries necessary to close out the books for $2020.$

Required: Complete an income statement, statement of cash flows $($indirect method$),$ and balance sheet in good form.