General Electric has the following starting balances as of November 1, 2023:

• Cash: $35,000
• Accounts Receivable: $20,000
• Inventory: $50,000
• Equipment: $80,000 (Accumulated Depreciation: $10,000)
• Accounts Payable: $25,000
• Capital: $150,000

• November 2023 Transactions:
  • Purchased inventory for $40,000 on account.
  • Paid $10,000 towards accounts payable.
  • Sold inventory for $70,000 (cost of goods sold: $40,000).
  • Collected $25,000 from accounts receivable.
  • Paid $20,000 in operating expenses.
  • Recorded depreciation expense of $1,500.

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 General Electric as of November 30, 2023.