Balance Sheet December 31, 2021 Cash Accounts receivable $25,900 Accounts payable $24,600 49,400 Common stock ($10 par) 74,000 Allowance for doubtful accounts (1,300) Retained earnings 136,800 Supplies 4,800 Land 39.900 Buildings 138,200 Accumulated depreciation-buildings (21,500) $235,400 $235,400 During 2022. the following transactions occurred. 1. On January 1, 2022. Whispering Winds issued 1.100 shares of $40 par, 7% preferred stock for $45,100. 2 On January 1, 2022. Whispering Winds also issued 1,000 shares of the $10 par value common stock for $22,400 1. On January 1, 2022, Whispering Winds issued 1,100 shares of $40 par, 7% preferred stock for $45,100. 2. On January 1, 2022, Whispering Winds also issued 1,000 shares of the $10 par value common stock for $22.400. 3. 4. Whispering Winds performed services for $323,000 on account. On April 1, 2022, Whispering Winds collected fees of $38,800 in advance for services to be performed from April 1, 2022, to March 31, 2023 Whispering Winds collected $299,900 from customers on account. 5, 6. Whispering Winds bought $38,600 of supplies on account. 7. Whispering Winds paid $34,300 on accounts payable. 8. 9. Paid other operating expenses of $192,900. 10. 11. Whispering Winds reacquired 400 shares of its common stock on June 1, 2022, for $25 per share. On December 31,2022, Whispering Winds declared the annual preferred stock dividend and a $1.20 per share dividend on the outstanding common stock, all payable on January 15, 2023. An account receivable of $1,600 which originated in 2021 is written off as uncollectible. Adjustment data: 1. A count of supplies indicates that $5,300 of supplies remain unused at year-end. 2. Recorded revenue from item 4 above. 3. 4. 5. The allowance for doubtful accounts should have a balance of $3,400 at year end. Depreciation is recorded on the building on a straight-line basis based on a 30-year life and a salvage value of $9,200. The income tax rate is 30%, (Hint: Prepare the income statement up to income before income taxes and multiply by 30% to compute the amqunt.) No. Account Titles and Explanation 1. Cash Preferred Stock Additional paid-in stock 2. Cash common sotck to additional paid in common stock 3. Accounts Receivable Service Revenue Cash cash advance from customers 5. Cash Accounts Receivable 6 Supplies Accounts Payable 7. Accounts Payable Cash B. Common Stock additional paid in capital, common stock 9. Other Operating Expenses Cash 10. Retained Earnings Dividends Payable 11. Allowance for Doubtful Accounts Accounts Receivable djusting entries 1. cash advance Service Revenue Allowance for Doubtful Accounts 3. Depreciation Expense Accumulated Depreciation-Buildings 4. provision for tax 5. Income Tax Expense Debit Credit Service Revenue Sales Revenues FLINT CORPORATION FLINT CORPORATION Income Statement Service Revenue Sales Revenues FLINT CORPORATION Income Statement FLINT CORPORATION " FLINT CORPORATION Labilities and Stockholder Equity F