P1 The following trial balance was taken from the books of Coyote Company as of December 31, 2019 Account Debit Credit Cash $60,000 Accounts receivable 50,000 Allowance for doubtful accounts $ 1,000 Short Term notes receivable 20,000 Inventory, January 1, 2019 70,000 Furniture and equipment 210,000 Accumulated depreciation of F E 40,000 Patents 100,000 Accounts payable 22,000 Bonds payable 20,000 L T notes payable 15,000 Common stock 290,000 Retained earnings 87,000 Dividends 20,000 Prior period adjustments 10,000 Sales 700,000 Sales returns allowance 40,000 Sales discount 10,000 Rent revenues 60,000 Interest revenues 10,000 Purchase 420,000 Purchase returns allowance 20,000 Selling expenses 60,000 Advertising expense 30,000 Supplies expense 6,000 Insurance expense 24,000 Wage and Salary expense 90,000 Rent expense 60,000 Loss on sale of PS store before tax 10,000 Operating income from PS store before tax 25,000 Totals 1,290,000 1,290,000 At the year end, the following items have not been recorded Insurance premium expired during the year, $14,000 Estimated bad debts expense, 1 0 of net sales Inventory as of 12 31 2019 turned out to be $50,000 Office supplies were purchased for $6,000 and charged to supplies expenses then There are $2,000 of supplies remaining as of 12 31 2019 Six months rent of $60,000 was paid in advance on September 1, 2019 and charged to rent expense then Furniture and equipment have an average useful life of 5 years and salvage value of $10,000 Coyote Company uses the straight line method of depreciation Patents have been amortized by $10,000 year Utility bill of $2,000 for the month of December 2019 will be paid on its due date, January 10, 2020 Salaries earned but not yet paid by December 31, 2019, $8,000 Tax rate 30 Instructions prepare Any necessary adjusting entries at the end of 2019 Income Statement and statement of retained earnings, and balance sheet of the company for the year 2019 in good forms (i e multiple steps statements) Any necessary closing entries at the end of 2019

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P1. The following trial balance was taken from the books of Coyote Company as of December 31, 2019.

Account Debit Credit

Cash $60,000

Accounts receivable 50,000

Allowance for doubtful accounts $ 1,000

Short-Term notes receivable 20,000

Inventory, January 1, 2019 70,000

Furniture and equipment 210,000

Accumulated depreciation of F & E 40,000

Patents 100,000

Accounts payable 22,000

Bonds payable 20,000

L-T notes payable 15,000

Common stock 290,000

Retained earnings 87,000

Dividends 20,000

Prior period adjustments 10,000

Sales 700,000

Sales returns & allowance 40,000

Sales discount 10,000

Rent revenues 60,000

Interest revenues 10,000

Purchase 420,000

Purchase returns & allowance 20,000

Selling expenses 60,000

Advertising expense 30,000

Supplies expense 6,000

Insurance expense 24,000

Wage and Salary expense 90,000

Rent expense 60,000

Loss on sale of PS store before tax 10,000

Operating income from PS store before tax 25,000

Totals 1,290,000 1,290,000

At the year end, the following items have not been recorded.

Insurance premium expired during the year, $14,000.
Estimated bad debts expense, 1.0% of net sales.
Inventory as of 12/31/2019 turned out to be $50,000.
Office supplies were purchased for $6,000 and charged to supplies expenses then. There are $2,000 of supplies remaining as of 12/31/2019
Six months rent of $60,000 was paid in advance on September 1, 2019 and charged to rent expense then.
Furniture and equipment have an average useful life of 5 years and salvage value of

$10,000. Coyote Company uses the straight-line method of depreciation.

Patents have been amortized by $10,000/year.
Utility bill of $2,000 for the month of December 2019 will be paid on its due date, January 10, 2020.
Salaries earned but not yet paid by December 31, 2019, $8,000.
Tax rate = 30%.

Instructions: prepare

Any necessary adjusting entries at the end of 2019.
Income Statement and statement of retained earnings, and balance sheet of the company for the year 2019 in good forms (i.e. multiple-steps statements)
Any necessary closing entries at the end of 2019.