Colton Enterprises experienced the following events for Year 1, the first year of operation:

1. Acquired $37,000 cash from the issue of common stock.
2. Paid $12,200 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 $76,000.
4. Incurred operating expenses on account of $36,000.
5. Collected $58,500 cash from accounts receivable.
6. Paid $23,000 cash for salary expense.
7. Paid $28,800 cash as a partial payment on accounts payable.

Adjusting Entries

8. Made the adjusting entry for the expired rent. (See Event 2.)
9. Recorded $2,800 of accrued salaries at the end of Year 1.

Events for Year 2

1. Paid $2,800 cash for the salaries accrued at the end of the prior accounting period.
2. Performed services for cash of $25,000.
3. Purchased $3,000 of supplies on account.
4. Paid $11,100 cash in advance for rent. The payment was for one year beginning April 1, Year 2.
5. Performed services for customers on account for $92,000.
6. Incurred operating expenses on account of $43,500.
7. Collected $91,000 cash from accounts receivable.
8. Paid $41,000 cash as a partial payment on accounts payable.
9. Paid $31,700 cash for salary expense.
10. Paid a $11,000 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 $550 of supplies were still on hand.

Required a. Record the events and adjusting entries for Year 1 in general journal form.

b. Post the Year 1 events to T-accounts.

c. Prepare a trial balance for Year 1.