By watching the following picture need to answer the QUESTION-

Above picture which include part-3 is the question and the other picture which are below this line is the answer of the above question

now, you have to answer the following question by keeping the values of above question(pictures those include answer of part 3) in mind. May be you just need trial balance for solving the following is the question.

QUESTION-

PART 3 INFORMATION: It is now the end of May 2021. Your mother is curious to know if the business has been profitable and if you will need another loan to help finance the business. You would also like to know if you have been profitable during the first month of operation. In order to determine the business' income, you must first make some adjusting entries and you have put together the following additional information: 1 The supplies were counted and costed out. There are $130 of office supplies remaining. 2 On May 31, you delivered smoothies to John's Gym and, although you also delivered the invoice, you had forgotten to record it. The invoice was for $170 and is due in 30 days. 3 Because the above order was last-minute, you hired your friend for 4 hours on May 31 to help you make the smoothies. You will pay her on June 3 at an hourly rate of $16. 4 Depreciation on the juicing machine must be recorded. The useful life of the machine is 48 months. (Round depreciation amount to the nearest dollar) 5 The interest on the loan will be paid at the end of the loan term. Assume that 22 days interest has accrued on the loan by May 31 and the annual interest rate is 5%. PART 3 INSTRUCTIONS: a. Prepare the adjusting journal entries. Round all amounts to the nearest dollar. PART 3 INSTRUCTIONS: a. Prepare the adjusting journal entries. Round all amounts to the nearest dollar. b. Post the entries to general ledger accounts. C. Prepare an adjusted trial balance as at May 31, 2021. d. Using the adjusted trial balance, prepare an income statement, statement of owner's equity, and balance sheet for the business' first month of operations. BUAD 111 Project - Part 3 - Solution Adjusting entries: CR DR 120 May. 31 PR 550 140 Supplies Expense Supplies 120 31 PAGE 2: AR-John's Gym Sales Revenue 170 130 410 170 31 64 Wages Expense Wages Payable 570 240 64 31 20 Depreciation Exp. Accum. Depreciation 515 161 20 31 9 Interest Exp. Interest Payable 527 245 9 of 5 b. Adjusted General Ledger: Cash Acct #110 Credit Debit 1,000 3,000 Date May 7 9 12 17 29 30 999999 PR G1 G1 G1 G1 G1 G1 300 250 Balance 1,000 4,000 3,700 3,450 3,630 3,480 180 150 Acct #130 Credit 0 Accounts Receivable Date 21-May 31 AJE PR G1 G2 Debit 315 170 Balance 315 485 Supplies Acct #140 Credit Date PR G1 G1 Debit 250 17-May 31 AJE Balance 250 130 120 Equipment Date 1-May Acct #160 Credit PR G1 Debit 940 Balance 940 Accumulated Depreciation-Equipment Date PR Debit 31-May AJE G2 Acct #161 Credit 20 Balance 20 Accounts Payable Date 28-May Debit PR G1 Acct #210 Credit 122 Balance 122 Unearned Revenue Date 29-May Debit PR G1 Acct #230 Credit 180 Balance 180 Wages Payable Date 31-May AJE Debit PR G2 Acct #240 Credit 64 Balance 64 Interest Payable Date 31-May AJE Debit PR G2 Acct #245 Credit 9 Balance 9 Notes Payable Acct #260 Debit Date 9-May PR G1 Credit 3,000 Balance 3,000 Debit Debit Capital PR G1 G1 Date 1-May 7 Acct #310 Credit 940 1,000 Balance 940 1,940 Drawings PR Debit G1 150 Acct #320 Credit Date 30-May Balance 150 Debit Sales Revenue Date 21-May 31 AJE PR G1 G2 Acct #410 Credit 315 170 Balance 315 485 Advertising Expense Date 12-May Acct #508 Credit PR G1 Debit 300 Balance 300 Depreciation Expense Acct #515 Credit Date Debit PR G2 Balance 20 31-May AJE 20 Interest & Bank Charges Expense Date PR Debit 31-May AJE G2 Acct #527 Credit Balance 9 9 Supplies Expense Date 31-May Acct #550 Credit PR G1 Debit 120 Balance 120 Telephone Expense Date 28-May Acct #563 Credit PR G1 Debit 122 Balance 122 Wages Expense Acct #570 Credit Debit Date May 31 PR G2 Balance 64 AJE 64 Income Summary Acct #999 Credit Balance Date PR Debit Hetherington's Yummy Smoothies Adjusted Trial Balance May 31, 2021 Credit Debit 3,480 485 130 940 Acc # 110 130 140 160 161 210 230 240 245 260 310 320 410 508 515 527 550 563 570 Cash Accounts receivable Supplies Equipment Accum. depreciation Accounts payable Unearned revenue Wages payable Interest payable Notes payable Owner, Capital Owner, Drawings Sales revenue Advertising expense Depreciation expense Interest & Bank Charges Supplies expense Telephone expense Wages expense Totals 20 122 180 64 9 3,000 1,940 150 485 300 20 9 120 122 64 5,820 5,820 Financial Statements: Hetherington's Yummy Smoothies Income Statement Month Ended May 31, 2021 $ 485 $ Sales revenue Less: Expenses: Advertising expense Depreciation expense Interest expense Supplies expense Telephone expense Wages expense Total expenses Profit 300 20 9 120 122 64 635 $ 150 Hetherington's Yummy Smoothies Statement of owner's equity Month Ended May 31, 2021 $ 1,940 1,940 Owner, capital, May 1, 2021 Add: Investments Subtotal Plus Profit Drawings Owner, capital, May 31, 2021 $ 150 150 300 $ 1,640 Hetherington's Yummy Smoothies Balance Sheet May 31, 2021 Assets Cash Accounts receivable Supplies Equipment Less: Accumulated depreciation Total assets 3,480 485 130 $ 940 20 920 $ 5,015 Liabilities and owner's equity Accounts payable Unearned revenue Wages payable Interest payable Notes payable Total liabilities 122 180 64 9 3,000 3,375 Owner's equity Owner, capital Total liabilities and owner's equity 1,640 $ 5,015 PART 4 INFORMATION: You have decided to use May 31, 2021 as your first year-end. PART 4 INSTRUCTIONS: Using the May 31, 2021 adjusted trial balance from Part 3, answer the following questions: a. Prepare the closing entries for your business. b. In your own words, why are closing entries important? c. Post the entries to the general ledger accounts and prepare a post-closing trial balance