Company Information Hampton Accounting Service Inc. is a public corporation that has been in business for 1 year. The company is authorized to issue 100,000 shares of common stock at $1 par value. The company provides accounting services and sells accounting software. To date the company has issued 20,000 shares of common stock, which are still outstanding. The issued shares were sold at $10 per share. A building and furnishings were purchased at the start of the year. The cost of the building was $140,000 and the cost of the furnishings was $30,000. The depreciation will be recorded annually. The estimated useful life of the building is 20 years with a residual value of $10,000. The company uses the Straight line method to depreciate the building. The estimated useful life of the furnishings is 5 years with a residual value of $2,500. The company uses the Double Declining Balance method to depreciate furnishings. The current inventory consists of 30 units of software at a cost of $140.00 each. Inventory is costed using LIFO and the perpetual inventory system. The company uses an allowance method to account for uncollectible accounts. It is estimated that 1% of net credit revenue will be uncollectible, adjusted monthly. Employees are paid $2,500 salary twice a month, on the 16th for the first half of the month and on the 2nd of the following month for the last half of the month. Ignore income tax calculations.BUS-A 201 Introduction to Financial Accounting Accounting Cycle Project 12/08/xx- Purchased Supplies for $800 cash 12/10/xx- Received $3,000 payment on account 12/11/xx- Sold 15 units of Inventory on Account, $4,500 Note: This transaction requires two journal entries. The first entry should deal with the sale, and the second should deal with the inventory 12/11/xx- Made payment on Account, $1,000 12/12/xx- Purchased 20 units of Inventory on Account, $2,400 12/14/xx- Received a bill for Advertising and paid it, $250 12/15/xx- Provided Accounting service for Cash, $8,000 12/16/xx- Paid employees salary for Dec. 1-15 12/17/xx- Provided Accounting Service on Account, $6,000 12/19/xx- Sold 10 units of Inventory on Account, $3,000 Note: This transaction requires two journal entries. The first entry should deal with the sale, and the second should deal with the inventory 12/22/xx- Received $2,500 payment on Account 12/23/xx- Made payment on Account, $2,500 12/24/xx- Received and paid monthly Utility bills, $850 12/27/xx- Received $2,000 cash in advance for accounting services 12/29/xx- Provided Accounting Service for Cash, $5,000 12/30/xx- Issued 1,000 shares of Common Stock at $15 per share 12/31/xx- Declared dividends of $1.50 to outstanding shareholders as of 12/31/xx. Note: Be sure to debit retained earnings and credit dividends payable. 3. Prepare a trial balance to verify that total debits equal total credits. 4. Record the following adjustments in the journal and in the trial balance. DO NOT post the adjusting entries to the ledger. Instead, post them directly as adjustments to the trial balance. 12/31/xx- Employees salary for Dec. 16-31 12/31/xx- Depreciation on Building, use SL method (calculate for entire year) 12/31/xx- Depreciation on Furnishings, use DDB method (calculate for entire year) 12/31/xx- Depreciation on Computer Equipment, use DDB method (calculate for one month) 12/31/xx- Supplies on hand equal $1,625 12/31/xx- Inventory count shows 33 units, some damaged units were disposed of during the month 12/31/xx- $500 of advance payment was earned in December 12/31/xx- Uncollectible Account expense for December 5. Prepare an Adjusted trial balance to verify debits equal credits at the end of the month 6. Prepare the 3 main financial statements for the year ending December 31, 20xx. I cannot find the adjusted Cost of Goods Sold/Inventory Date Accounts and Explanation Post Ref. Debit Credit December 2, 2015 Inventory 130 1,300.00 Correct Accounts Payable 200 1,300.00 Correct December 2, 2015 Salary Payable 215 2,500.00 Correct Cash 100 2,500.00 Correct December 2, 2015 Accounts Receivable 110 3,200.00 Correct Service Revenue 400 3,200.00 Correct December 5, 2015 Office Equipment 160 4,800.00 Correct Accounts Payable 200 4,800.00 Correct December 8, 2015 Supplies 120 800.00 Correct Cash 100 800.00 Correct December 10, 2015 Cash 100 3,000.00 Correct Accounts Receivable 110 3,000.00 Correct December 11, 2015 Accounts Receivable 110 4,500.00 Correct Sales Revenue 410 4,500.00 Correct December 11, 2015 Cost of Goods Sold 560 2,000.00 Correct Inventory 130 2,000.00 Correct December 11, 2015 Accounts Payable 200 1,000.00 Correct Cash 100 1,000.00 Correct December 12, 2015 Inventory 130 2,400.00 Correct Accounts Payable 200 2,400.00 Correct December 14, 2015 Advertising Expense 500 250.00 Correct Cash 100 250.00 Correct December 15, 2015 Cash 100 8,000.00 Correct Service Revenue 400 8,000.00 Correct December 16, 2015 Salary Expense 570 2,500.00 Correct Cash 100 2,500.00 Correct December 17, 2015 Accounts Receivable 110 6,000.00 Correct Service Revenue 400 6,000.00 Correct December 19, 2015 Accounts Receivable 110 3,000.00 Correct Sales Revenue 410 3,000.00 Correct December 19, 2015 Cost of Goods Sold 560 1,200.00 Correct Inventory 130 1,200.00 Correct December 22, 2015 Cash 100 2,500.00 Correct Accounts Receivable 110 2,500.00 Correct December 23, 2015 Accounts Payable 200 2,500.00 Correct Cash 100 2,500.00 Correct December 24, 2015 Utilities Expense 550 850.00 Correct Cash 100 850.00 Correct December 27, 2015 Cash 100 2,000.00 Correct Unearned Service Revenue 210 2,000.00 Correct December 29, 2015 Cash 100 5,000.00 Correct Service Revenue 400 5,000.00 Correct December 30, 2015 Cash 100 15,000.00 Correct Common Stock, $1 par value 300 1,000.00 Correct Additional Paid in Capital 305 14,000.00 Correct December 31, 2015 Retained Earnings 310 31,500.00 Correct Dividends Payable 220 31,500.00 Correct The following adjustments SHOULD NOT be posted to the Ledger; instead, they should be posted directly to the Trial Balance Adj Salary Expense 570 2,500.00 Correct Salary Payable 215 2,500.00 Correct Adj Depreciation Expense 510 6,500.00 Correct Accumulated Depreciation- Building 151 6,500.00 Correct Adj Depreciation Expense 510 12,000.00 Correct Accumulated Depreciation- Furnishings 156 12,000.00 Correct Adj Depreciation Expense 510 200.00 Correct Accumulated Depreciation- Off. Equip. 161 200.00 Correct Adj Supplies Expense 530 1,175.00 Correct Supplies 120 1,175.00 Correct Adj Cost of Goods Sold 560 100.00 Incorrect amount Inventory 130 Incorrect amount Adj Unearned Service Revenue 210 500.00 Correct Service Revenue 400 500.00 Correct Adj Uncollectible Accounts Expense 540 167.00 Correct Allowance for Unc. Accounts 115 167.00 Correct I am looking for the adjusted entry for "Inventory count shows 33 units, some damaged units were disposed of during the month." Thank you.