PART $1$

During January, the following transactions were completed for Kennesaw Cleaners, Inc $($KCI$).$

$1$ On January $1,KCl$ issued stock in exchange for $$22000$cash.

$2$ On January $2,KC$ purchased a truck for $$14,000,$ paying $$2,000$ cash down and signing a $5-$year,$8\%$ note for the remaining $$12,000.$

$3$ On January $3,KCl$ purchased cleaning supplies for $$1200$ on account to be used over several months.

$4$ On January $5,KCl$ prepaid $$1200$ for a one$-$year insurance policy. Coverage began on January $1.$

$5$ On January $10,KCl$ sent invoices to customers amounting to $$5000$ for completed cleaning services.

$6$ On January $15,KCl$ paid $$2600$ for employee salaries for work performed in January.

$7$ On January $16,KCl$ collected $$3750$ from customers billed on January $10.$

$8$ On January $20,KCl$ collected $$1,000$ in advance from a customer for February cleaning services.

$9$ On January $31,KCl$ makes a cash payment on truck note for $$500.$

$10$ On January $31,KCl$ paid a cash dividend of $$100.$

For the above ten transactions, Prepare the Monthly Journal Entries, Post to the General Ledger $($T$-$Accounts$),$ and Prepare an Unadjusted Trial Balance.

At the end of January, $KCl$ analyzed the following transactions for which journal entries have not yet been prepared.

$1$ An inventory count at the close of business on January $31$ reveals that $$500$ of supplies are still on hand.

$2$ Insurance of $$100$ expires each month.

$3$ The truck has a useful life of $5$ years $(60$ months$)$ and has a salvage value of $$2,000.$ KCl uses SL Depreciation

$4$ Completed cleaning services for customers for a total of $$2750,$ but have not yet sent out the invoices.

$5$ Interest has accrued on the note, but will not be paid until later.

For the above five transactions, prepare the Adjusting Journal Entries, Post to the General Ledger, and Prepare an Adjusted Trial Balance. You should only have one set of T$-$Accounts. Add to the ones previously prepared and create new t$-$accounts when needed.

PART $2$

Turn in Corrected PART $1$ plus the following:

Prepare the Income Statement, Statement of Retained Earnings, and the Balance Sheet.

Prepare the Closing Journal Entries, Post to the General Ledger, and Prepare a Post$-$Closing Trial Balance.