Complete ALL questions below in proper format. Full workings must be shown for full marks to be awarded. You have recently joined Amalgam Inc. as Accounting Assistant. Your accounting duties include journalizing and posting transactions, preparing adjusting entries, bank reconciliation statements, depreciation schedules and financial statements, valuing inventory and computing financial ratios in an effort to analyze Amalgams performance. The following are tasks you have been assigned.

1. Below is the Adjusted Trial Balance for Amalgam Inc.

Amalgam Inc.

Trial Balance

December 31, 20

Q1. Required: Using the Adjusted Trial Balance above, prepare the following statements in proper form:

a. Income Statement

b. Retained Earnings Statement

c. Classified Statement of Financial Position

Q 2: Part A:

The following transactions for Amalgam are presented below:

1. The company issues ordinary shares in exchange for $100,000 cash.

2. Purchased $1,600 of supplies on credit.

3. Purchased equipment for $40,000, paying $12,000 in cash and issue of note payable for $28,000.

4. Billed clients $16,000 for work performed.

5. Paid $2800 in cash for the current month's rent.

6. Paid $800 cash on account for supplies purchased in transaction 2.

7. Paid $2400 for advertising for the current month.

8. Received $8,800 cash in advance for services to be performed next month.

Required: Journalize the above transactions in general journal form. You may omit explanations of the transactions

Q 2: Part B

Amalgam developed the following information in reconciling its bank statement for the month of October. The balance per books October 31 was $3,600. Balance per bank statement October 31 was $8,432.

(1) Cheques written in October but still outstanding $4,000.

(2) Cheques written in September but still outstanding $577.

(3) Deposits of October 30 and 31 not yet recorded by bank $2,900.

(4) NSF cheque of customer returned by bank $1261.

(5) Cheque No. 003 for $687 was correctly issued and paid by bank but incorrectly entered in the companys records as payment on account for $678.

(6) Bank service charge for April was $25.

(7) Cheque No. 016 for $1356 in payment of an accounts payable was incorrectly entered in the companys records as $1536. The cheque was correctly cleared by the bank in October.

(8) The bank collected a note receivable for the company for $4000 plus $270 interest revenue.

Required: Prepare the Bank Reconciliation Statement as at October 31.

Question 1 Below is the Adjusted Trial Balance for Amalgam Inc