Fast Deliveries, Inc. (FDI) was organized in December last year, and had limited activity last year. The resulting balance sheet at the beginning of the current year is provided below: FAST DELIVERIES, INC. Balance Sheet at January 1 $ 500 Assets: Cash Accounts Receivable Supplies Liabilities: $10,900 Accounts Payable 800 Stockholders' Equity: 400 Common Stock Retained Earnings Total Liabilities and Stockholders' $12,100 Equity 11,000 600 Total Assets $12,100 Two employees have been hired, at a monthly salary of $2,200 each. The following transactions occurred during January of the current year. For your reference, the chapter to which each event relates is indicated in the first column. NNN Ch. January 1 $5,700 is paid for 12 months insurance starting January 1. (Record as an asset.) 2 $4,200 is paid for 3 months of rent beginning January 1. (Record as an asset.) 3 FDI borrows $30,000 cash from First State Bank at 6% annual interest; this note is payable in two years. 2 4 A delivery van is purchased using cash. Including tax, the total cost was $24,000. 2 5 Stockholders contribute $6,000 of additional cash to FDI for its common stock. 2 6 Additional supplies costing $1,000 are purchased on account and received. 2 7 $600 of accounts receivable arising from last year's December sales are collected. 2 8 $400 of accounts payable from December of last year are paid. 9 Performed services for customers on account. Mailed invoices totaling $10,400. 10 $7,600 of services are performed for customers who paid immediately in cash. 16 $2,200 of salaries are paid for the first half of the month. 20 FDI receives $3,500 cash from a customer for an advance order for services to be provided later in January and in February 25 $4,500 is collected from customers on account (see January 9 transaction). 31a. 31d. Ch. 4 Additional information for adjusting entries: A $1,200 bill arrives for January utility services. Payment is due February 15. 31b. Supplies on hand on January 31 are counted and determined to have cost $250. 31c. As of January 31, FDI had completed 60% of the deliveries for the customer who paid in advance on January 20 Accrue one month of interest on the bank loan. Yearly interest is determined by multiplying the amount borrowed by the annual interest rate (expressed as 6.06). For convenience, calculate January interest as one-twelfth of the annual interest Assume the van will be used for 4 years, after which it will have no value. Thus, each year, one-fourth of the van's benefits will be used up, which implies annual depreciation equal to one-fourth of the van's total cost. Record depreciation for the month of January equal to one-twelfth of the annual depreciation expense. Salaries earned by employees for the period from January 16-31 are $1,100 per employee and will be paid on February 3. 319. Adjust the prepaid asset accounts (for rent and insurance) as needed. 31e. 31f. 2. Post each of the entries to the correct T-accounts on the enclosed T-account form. 3. Using the addition/sum and subtract functions in Excel/Sheets, calculate the correct subtotal balance for each T-account on the enclosed form. 5. Post each of the adjusting entries to the same T-accounts on the enclosed T-account form. 6. Using the addition/sum and subtract functions in Excel/Sheets, calculate the correct final balance for each T-account on the correct side Assets Liabilities Equity Revenue Expenses 10900 30000 6000 600 7600 3500 4500 5700 4200 24000 400 2200 Sunplies 7 Prepare the 3 Financial statements in good form using the final ending T-account balances as of January 31, current year Use the reference or linking function in Excel/Sheets to link the financial statements accounts and amounts to the T-accounts. This will result in a functioning worksheet. Financial statements must follow outline shown in the textbook and homework with titles and totals. An example of the process can be found in the demonstration case starting on page 17 through page 179. Use of the basic reference/linking function and addition/sum/subtraction function in Excel/Sheets must be included to the fullest extent possible. You may change the width of a column, or format a number, or insert lines as needed. You may create a Trial Balance. Make changes as needed. The goal of a functioning worksheet is that an amount can be changed in the T-accounts and the financial statements update automatically. Try that before you submit. If you are typing numbers on this sheet, you are not meeting the requirements of the project