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QUESTION ONE Mona Kamaka, CPA, was retained by Downtown TV Repair Ltd. To prepare financial statements for the year ended March 31, 20X2. Mona accumulated all the ledger balances from the business records and found the following: DOWNTOWN TV REPAIR LTD. Adjusted Trial Balance March 31, 20X2 Credit Debit $ 62,000 45,000 Cash Accounts receivable 9,000 Supplies Equipment Accumulated depreciation equipment 150,000 $ 30,000 59,500 Accounts payable 6,000 Salaries and wages payable 15,000 Unearned revenue 100,000 Common shares Retained earnings 46,600 Dividends declared 5,000 VService revenue Salaries and wages expense Advertising expense Utilities expense 80,000 36,000 8,000 3,100 VDepreciation expense V Repairs and maintenance expense 7,000 12.000 $337,100 $337,100 Mona reviewed the records and found the following errors; 1. Cash received from a customer on account was recorded on March 2, 20X2 as $5,700 correct amount of cash received was $7,500. The 2. The purchase, on account, of equipment on March 31, 20X2 that cost $9,000 a debit to Supplies and a credit to Accounts payable for $9,000, was recorded as 3. A payment of $300 in January 20X2 for advertising expense was entered as a debit to Utilities Expense, $300, and a credit to Cash, $300. 4. The first salary payment for the month of April 20X1 was $18,000, which included $6,000 of salaries and wages payable on March 31, 20X1. The payment was recorded as a debit to Salaries and Wages Expense of $18,000 and a credit to Cash of $18,000. The business does not use reversing entries. 5. A cash payment on March 31, 20X2 for Repairs and Maintenance Expense on equipment for $900 was recorded as a debit to Equipment, $900, and a credit to Cash, $900. Required: (i) Prepare, for each error listed by Mona, an analysis that shows (1) the incorrect entry, (2) the correct entry, and (3) the correcting entry/For each DEBIT and CREDIT entry, after the name of the account, indicate clearly whether the account is an Income Statement (I/S) account or a Balance Sheet (B/S) account. (ii) Prepare a corrected adjusted trail balance for the company as at March 31,20x2. (iii) Prepare, in good form, an income statement for the year ended March 31, 20X2/a balance sheet as at March 31, 20X2, and a statement of retained earnings for the year ended March 31 20X2./ 0008 00LE