Carla Vista Co.'s balance sheet at December 31, 2021, is presented below. Carla Vista Co. Balance Sheet December 31, 2021 Cash $14,340 Accounts payable Accounts receivable 19,700 Common stock Allowance for doubtful accounts (860) Retained earnings Inventory 9.980 $43,160 $9,230 21.700 12.230 $43,160 During January 2022, the following transactions occurred. Carla Vista uses the perpetual inventory method Jan. 1 3 8 11 15 Carla Vista accepted a 4-month, 8% note from Betheny Company in payment of Betheny's $3,600 account Carla Vista wrote off as uncollectible the accounts of Walter Corporation ($400) and Drake Company ($300). Carla Vista purchased $18,210 of inventory on account Carla Vista sold for $27.000 on account inventory that cost $16,920. Carla Vista sold inventory that cost $680 to Jack Rice for $900. Rice charged this amount on his Visa First Bank card. The service fee charged Carla Vista by First Bank is 3% Carla Vista collected $23,600 from customers on account Carla Vista paid $17,630 on accounts payable. Carla Vista received payment in full ($300) from Drake Company on the account written off on January 3, 17 21 24 1 3 8 11 15 Carla Vista accepted a 4-month, 8% note from Betheny Company in payment of Betheny's $3,600 account. Carla Vista wrote off as uncollectible the accounts of Walter Corporation ($400) and Drake Company ($300) Carla Vista purchased $18,210 of inventory on account Carla Vista sold for $27,000 on account inventory that cost $16.920. Carla Vista sold inventory that cost $680 to Jack Rice for $900. Rice charged this amount on his Visa First Bank card. The service fee charged Carla Vista by First Bank is 3%. Carla Vista collected $23,600 from customers on account. Carla Vista paid $17,630 on accounts payable. Carla Vista received payment in full($300) from Drake Company on the account written off on January 3. Carla Vista purchased advertising supplies for $1.440 cash. Carla Vista paid other operating expenses. $3,330. 17 21 24 27 31 Adjustment data: 1. 2 3. 4. Interest is recorded for the month on the note from January 1, Bad debts are expected to be 6% of the January 31, 2022, accounts receivable. A count of advertising supplies on January 31, 2022, reveals that $590 remains unused. The income tax rate is 30%. (Hint: Prepare the income statement up to Income before taxes and multiply by 30% to compute the amount: round to whole dollars.) (You may want to set up T-accounts to determine ending balances) CARLA VISTA CO. Adjusted Trial Balance January 31, 2022 Debit Credit $ Totals $ Prepare an income statement for the month ending January 31, 2022. (Round answers to 0 decimal places, e.g. 1.250.) CARLA VISTA CO. Income Statement For the Month Ending January 31, 2022 Sales Revenues 27900 Cost of Goods Sold 17600 Gross Profit 10300 Operating Expenses Service Chance Expenso $ 27 Other Operating Experies 3300 Bad Debts Expense 668 i Supplies Expense 850 Operating Expenses -4845 income From Operations 5455 850 i Supplies Expense . -4845 Operating Expenses - 5455 Income From Operations 24 Interest Revenue Income Before Income Taxes 5479 Income Tax Exense -1644 $ Net Income /(Loss) 3835 Prepare a retained earnings statement for the month ending January 31, 2022 (Round answers to O decimal places, e.g. 1,250.) CARLA VISTA CO. Retained Earnings Statement January 31, 2022 $ Prepare a classified balance sheet as of January 31, 2022. (List Current Assets in order of liquidity. Round answers to 0 decimal places, c.8. 1.250.) CARLA VISTA CO. Balance Sheet Assets Liabilities and Stockholders' Equity Liabilities and Stockholders' Equity I $ $ $ Carla Vista Co. Balance Sheet December 31, 2021 Cash $14,340 Accounts payable Accounts receivable 19,700 Common stock Allowance for doubtful accounts (860) Retained earnings Inventory 9.980 $43,160 $9.230 21,700 12,230 $43,160 During January 2022. the following transactions occurred. Carla Vista uses the perpetual inventory method. Jan. 1 3 8 11 15 Carla Vista accepted a 4-month, 8% note from Betheny Company in payment of Betheny's $3,600 account. Carla Vista wrote off as uncollectible the accounts of Walter Corporation ($400) and Drake Company ($300). Carla Vista purchased $18,210 of inventory on account. Carla Vista sold for $27,000 on account inventory that cost $16,920. Carla Vista sold inventory that cost $680 to Jack Rice for $900. Rice charged this amount on his Visa First Bank card. The service fee charged Carla Vista by First Bank is 3%. Carla Vista collected $23,600 from customers on account Carla Vista paid $17,630 on accounts payable. Carla Vista received payment in full ($300) from Drake Company on the account written off on January 3. Carla Vista purchased advertising supplies for $1.440 cash. Carla Vista paid other operating expenses. $3,330 17 21 24 27 31 15 17 21 24 27 Carla Vista sold inventory that cost $680 to Jack Rice for $900. Rice charged this amount on his Visa First Bank card. The service fee charged Carla Vista by First Bank is 3%, Carla Vista collected $23,600 from customers on account. Carla Vista paid $17,630 on accounts payable. Carla Vista received payment in full ($300) from Drake Company on the account written off on January 3. Carla Vista purchased advertising supplies for $1.440 cash. Carla Vista paid other operating expenses, $3,330. 31 1. Adjustment data: Interest is recorded for the month on the note from January 1, 2. Bad debts are expected to be 6% of the January 31, 2022, accounts receivable. 3. Acount of advertising supplies on January 31, 2022. reveals that 5590 remains unused, The income tax rate is 30%. (Hint: Prepare the income statement up to Income before taxes and multiply by 30% to compute the amount: round to whole dollars.) 4 (You may want to set up Traccounts to determine ending balances.) CARLA VISTA CO. Adjusted Trial Balance January 31, 2022 Debit Credit CARLA VISTA CO. Income Statement For the Month Ending January 31, 2022 Sales Revenues 27900 Costot Goods Sold -17600 i Gross Profit 10300 Operating Expenses Service Charge Expense 27 Other Operating Expenses 3300 Bad Debts Expense 668 Supplies Expo 850 i Operating Expenses -4845 Income From Operations 5455 Interest Reven 24 Incore Before Income Taves . 5479 Income From Operations 5455 Interest Ravenue 24 Income Before Income Taxes 5479 Income Tax Expense -1644 Net Income /(Loss) 3835 Prepare a retained earnings statement for the month ending January 31, 2022. (Round answers to 0 decimal place 1,250.) CARLA VISTA CO. Retained Earnings Statement January 31, 2022 CARLA VISTA CO. Balance Sheet Assets $ $ Liabilities and Stockholders' Equity . Liabilities and Stockholders' Equity $ $ $