Colton Enterprises experienced the following events for Year 1, the first year of operation: 1. Acquired $54,000 cash from the issue of common stock. 2. Paid $13,900 cash in advance for rent. The payment was for the period April 1, Year 1, to March 31, Year 2. 3. Performed services for customers on account for $110,000. 4. Incurred operating expenses on account of $44,500. 5. Collected $84,000 cash from accounts receivable. 6. Paid $40,000 cash for salary expense. 7. Paid $35,600 cash as a partial payment on accounts payable. Adjusting Entries 8. Made the adjusting entry for the expired rent. (See Event 2.) 9. Recorded $6,200 of accrued salaries at the end of Year 1. Events for Year 2 1. Paid $6,200 cash for the salaries accrued at the end of the prior accounting period. 2. Performed services for cash of $59,000. 3. Purchased $4,700 of supplies on account. 4. Paid $16,200 cash in advance for rent. The payment was for one year beginning April 1, Year 2. 5. Performed services for customers on account for $126,000. 6. Incurred operating expenses on account of $60,500. 7. Collected $108,000 cash from accounts receivable. 8. Paid $58,000 cash as a partial payment on accounts payable. 9. Paid $33,400 cash for salary expense. 10. Paid a $10,000 cash dividend to stockholders. Adjusting Entries 11. Made the adjusting entry for the expired rent. (Hint. Part of the rent was paid in Year 1.) 12. Recorded supplies expense. A physical count showed that $400 of supplies were still on hand. g. Repeat parts a through ffor Year 2. (Do not round intermediate calculations. If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Statement of Cash Flows only, items to be deducted must be indicated with a negative amount.) View transaction list Journal entry worksheet Record the closure of service revenue. Note: Enter debits before credits. Date General Journal Debit Credit Dec. 31 Record entry Clear entry View general journal Cash Accounts Receivable Beg. Bal Beg. Bal. End. Bal End. Bal Prepaid Rent Supplies Beg. Bal Beg. Bal. End. Bal End. Bal Accounts Payable Common Stock Beg. Bal. Beg. Bal. End. Bal. End. Bal Retained Earnings Dividends Beg. Bal Beg. Bal. cl cl End. Bal cl cl End. Bal Service Revenue Operating Expenses Beg. Bal Beg. Bal. cl cl End. Bal End. Bal. Rent Expense Salaries Expense Beg. Bal. Beg. Bal. cl End. Bal End. Bal Supplies Expense Beg Bal. COLTON ENTERPRISES Post-Closing Trial Balance December 31, Year 2 Account Titles Debit Credit Totals