Coca-Cola Co. 

• Starting Balances as of May 1, 2025:
  • Cash: $55,000
  • Accounts Receivable: $35,000
  • Inventory: $100,000
  • Equipment: $160,000 (Accumulated Depreciation: $30,000)
  • Accounts Payable: $60,000
  • Capital: $260,000
• May 2025 Transactions:
  • Purchased inventory for $70,000 on account.
  • Paid $30,000 towards accounts payable.
  • Sold inventory for $140,000 (cost of goods sold: $80,000).
  • Collected $60,000 from accounts receivable.
  • Paid $45,000 in operating expenses.
  • Recorded depreciation expense of $5,000.

Requirements:

1. Journalize the transactions.
2. Post to the ledger accounts.
3. Prepare an adjusted trial balance.
4. Prepare the income statement and balance sheet as of May 31, 2025.