Fast Deliveries, Incorporated $($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, INCORPORATED

Balance Sheet at January $1$

Assets: Liabilities:

Cash $ $12,600$ Accounts Payable $ $700$

Accounts Receivable $600$ Stockholders$$ Equity:

Supplies $720$ Common Stock $11,900$

Retained Earnings $1,320$

Total Assets $ $13,920$ Total Liabilities and Stockholders$$ Equity $ $13,920$

Two employees have been hired, at a monthly salary of $$2,960$ each. The following transactions occurred during January of the current year.

January

$1$ $$6,000$ is paid for $12$ months$$ insurance starting January $1.($Record as an asset.$)$

$2$ $$4,800$ is paid for $12$ months of rent beginning January $1.($Record as an asset.$)$

$3$ FDI borrows $$30,000$ cash from First State Bank at $5\%$ annual interest; this note is payable in two years.

$4$ A delivery van is purchased using cash. Including tax, the total cost was $$28,800.$

$5$ Stockholders contribute $$4,000$ of additional cash to FDI for its common stock.

$6$ Additional supplies costing $$1,400$ are purchased on account and received.

$7$ $$700$ of accounts receivable arising from last year$$s December sales are collected.

$8$ $$600$ of accounts payable from December of last year are paid.

$9$ Performed services for customers on account. Sent invoices totaling $$10,600.$

$10$ $$7,400$ of services are performed for customers who paid immediately in cash.

$16$ $$2,960$ of salaries are paid for the first half of the month.

$20$ FDI receives $$3,700$ cash from a customer for an advance order for services to be provided later in January and in February.

$25$ $$3,500$ is collected from customers on account $($see January $9$ transaction$).$

January Additional information for adjusting entries:

$31$a$.$ A $$1,100$ bill arrives for January utility services. Payment is due February $15.$

$31$b$.$ Supplies on hand on January $31$ are counted and determined to have cost $$280.$

$31$c$.$ As of January $31,$ FDI had completed $60\%$ of the deliveries for the customer who paid in advance on January $20.$

$31$d$.$ 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 $0\mathrm{.}05).$ For convenience, calculate January interest as one$-$twelfth of the annual interest.

$31$e$.$ 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.

$31$f$.$ Salaries earned by employees for the period from January $16$ to $31$ are $$1,480$ per employee and will be paid on February $3.$

$31$g$.$ Adjust the prepaid asset accounts $($for rent and insurance$)$ as needed.

Prepare the balance sheet.