Final Project: Worth 100 Points: CAUTION Before you actually look at the problem, there are a couple of things that I want to caution you about 1. it is extremely important to the organization and flow of the data (and ultimately your stress-free success that you do the Instructions in Order. I would definitely wepest that you also complete each one before moving on to the next one. 2. This one is also tled to your success with this project. I am well aware that there are similar problems that are easily found floating around-especially on the Internet. However, I drew your attention to the Key Word-similart Most of the ones that you will find utilize a format and account titles that we have not covered in this course, because they are Nor Generally Used in American businesses. These formats and titles are Not Acceptable, and points will be lost for using them. I strongly suggest that you simply use the Sample Problem format for your own Midterm problem) as your template. If you would like my Template file just email me and I will send it to you. If you have any questions about any of this, please make sure to get a hold of me. I will happily help you through Hough Drafted through Thursday night. I would strongly suggest that you get a head start on this and do not wait until Thursday to start it So-Let's get started Melody and Mike Johnson opened M & M Office Cleaning Inc on June 1, 2021. During June, the following transactions were completed June 1 Issued 5,000 shares of M&M stock to family and friends for $10,000 Each share has a $1.25 par value. 1 2 Borrowed $7.500 on a 2 year, 7% noto payable Pald 50,000 to purchase sed floor and window cleaning equipment from a company going out of business (54,800 was for the floor equipment and 51.200 for the window equipment Paid $210 for June for Internet and phone service Purchased cleaning supplies for $1.050 on account 2 3 3 Received a Quote for insurance coverage for $9.840 per year. Coverage would run from June 3, 2021, through May 01, 2022. M & M pald $2.460 cash for the first quarter of coverage Hindmolendood. 3 Purchased cleaning supplies for $1,050 on account. 3 Received a Quote for insurance coverage for $9,840 per year. Coverage would run from June 3, 2021. through May 01, 2022. M&M paid $2.460 cash for the first quarter of coverage. 4 Hired 4 employees. Each will be paid $450 per 5-day work week (Monday-Friday). Employees will begin working on Monday, June 7th. 4 Discussions with the insurance agent indicated that providing outside window cleaning services would cost too much to insure. M & M sold the window cleaning equipment for $1,500 cash. 7 Paid $2.30 per share to buy 300 shares of M&M Office Cleaning, Inc common stock from a shareholder who disagreed with management goals. The shares will be held as treasury stock. 10 Paid $500 on amount owed on cleaning supplies. 14 Paid for employees' wages for the week of June 7-11. 17 Billed customers $3,500 for cleaning services performed through June 11, 2021. 18 Received $700 from a customer for 4 weeks of cleaning services to begin on June 21, 2021. 21 Paid employees' wages for the week of June 14-18 23 Collected $3,000 cash from customers billed on June 17. 24 Billed customers $4,200 for cleaning services performed through June 18th 25 Paid $210 for Internet and phone services for July 27 Collected $3,800 from customers billed on June 17 & 24. 28 Declared and paid a cash dividend of $0.15 per share. 28 Paid employees' wages for the week of June 21-25 29 Billed customers $3,500 for cleaning services performed through June 25th 29 maled customers $3,500 for cheaning services performed through June 25th Received notice that a customer who was biled 5500 for services performed June 10 has led to bankruptcy M&M Office Cleaning Inc does not expect to collect any portion of this standing receivable. (M & M will follow the GAAP. Guidelines for uncollectible accounts) 30 Adjustment Data: (Round all calculations to Whole Dollars) A Services performed for customers through June 30, 2021, but unbilled and uncollected were $200 B. M&MO Cleaning sed the allowance method to estimate bad debts. The estimate that 3x of the month and receives will eat be collected c. Record 1 month of depreciation for the floor equipment. Use the straight-line method, an estimated the ef 4 years, and $500 anagrade D. Record 1 month of insurance expense, E. An inventory count shows $500 of supplies on hand at June 30th F. Record services performed for the customer who paid in advance on June 18th G. Accrue for wages owed through June 30, 2021 H. Accrue for interest expense for one month 1. M&M estimates a 20% income tax rate. (Hint Prepare an income statement up to "income before taxes to help with the income tax cutti Instructions: 1. Journalize the June transactions 2. Post to General Ledger accounts. 3. Prepare a Preadjusting Trial Balance as of June 30, 2021. 4. Joumalize the adjusting entries. (Round all amounts to whole dollars.) 5. Post the Adjusting Entries to the General Ledger accounts, 6. Prepare an Adjusted Trial Balance as of June 30, 2021. 7. Journalize the Closing Entries 8. Post the Closing Entries into the General Ledger Accounts 9. Prepare a Post-Closing Trial Balance The End