Disney Inc. 

• Starting Balances as of March 1, 2025:
  • Cash: $35,000
  • Accounts Receivable: $25,000
  • Inventory: $90,000
  • Equipment: $100,000 (Accumulated Depreciation: $20,000)
  • Accounts Payable: $50,000
  • Capital: $180,000
• March 2025 Transactions:
  • Purchased inventory for $60,000 on account.
  • Paid $25,000 towards accounts payable.
  • Sold inventory for $110,000 (cost of goods sold: $70,000).
  • Collected $45,000 from accounts receivable.
  • Paid $35,000 in operating expenses.
  • Recorded depreciation expense of $3,500.

Requirements:

1. Prepare journal entries for the above transactions.
2. Post the entries to the general ledger.
3. Prepare an adjusted trial balance.

Create an income statement and a balance sheet for Disney Inc. as of March 31, 2025.