Comprehensive Accounting Cycle Review ACR10 Hasselhof Company's trial balance at December 31, 2020, is as follows. All 2020 transactions have been reporded except for the items described following the trial balance. Credit Debit $ 28,000 36,800 10,000 0- 36,200 3,600 20,000 150,000 60,000 9,000 $ 500 50,000 24,000 27,300 -0- 6,000 11,000 Cash Accounts Receivable Notes Receivable interest Receivable Inventory Prepaid Insurance Land Buildings Equipment Patents Allowance for Doubtful Accounts Accumulated Depreciation--Buildings Accumulated Depreciation Equipment Accounts Payable Salaries and Wages Payable Unearned Rent Revenue Notes Payable (due in 2021) Interest Payable Notes Payable (due after 2021) Owner's Capital Owner's Drawings Sales Revenue Interest Revenue Rent Revenue Gain on Disposal of Plant Assets Bad Debt Expense Cost of Goods Sold Depreciation Expense Insurance Expense Interest Expense Other Operating Expenses Amortization Expense Salaries and Wages Expense Total 30,000 113,600 12,000 905,000 -0- -0 -0- 0- 630,000 -0- 0 -0 61,800 -0 110,000 $1,167,400 $1,167,400 Urirecorded transactions: 1. On May 1, 2020, Hasselhouf purchased equipment for $21,200 plus sales taxes of $1,600 (all paid in cash) 2. On July 1, 2020, Hasselhouf sold for $3,500 equipment which originally cost $5,000. Accumulated depreciation on this equipment at January 1, 2020, was $1,800; 2020 depeeciation prior to the salo of the equipment was $450. 3. On December 31, 2020, Hasselbouf sold on account 89,000 of inventory that cost $6,300. 4. Hasselhouf estimates that uncollectible accounts receivable at year-end is $3,500. 5. The note receivable is a one-year, 8% note dated April 1, 2020. No interest has been recorded. 6. The balance in prepaid insurance represcats payment of a $3,600 6-tuonth premium on September I, 2020. 7. The building is being depreciated using the straight line method over 30 years. The salvage value is $30,000, 8. The equipment owned prior to this year is being depreciated using the straight-line method over 5 years. The salvage value is 10% of cost. 9. The equipment purchased on May 1, 2020, is being depreciated using the straight-line method over 5 years, with a salvage value of $1,800. 10. The patent was acquired on January 1, 2020, and has a useful life of 10 years from that date. 11. Unpaid salaries and wages at December 31, 2020, total $5,200. 12. The uncanned rent revenue of $6,000 was received on December 1, 2020. for 3 months' rent 13. Both the short-term and long-term notes payable are dated January 1, 2020, and carry a 9% interest rate. All interest is payable in the next 12 months b. Totals $1,205,040 d. Total assets $259,200 Instructions a. Prepare journal entries for the transactions listed above. b. Prepare an updated December 31, 2020, trial balance c. Prepare a 2020 income statement and an owner's equity statement d. Prepare a December 31, 2020, classified balance sheet