Part $1$

Prepare the selected journal entries for Flagger Company:

Issued common stock and received $$10,000$ in cash

Paid rent for the current month of $$500$

Purchased $$1,000$ worth of advertising from a vendor on account.

Purchased new equipment for $$3,780$ cash

Received cash for services performed of $$4,450$

Charged customers on account for fees earned of $$3,250$

Prepare the selected adjusting journal entries for Flagger Company:

The correct ending balance of Prepaid Rent is $$2,000.$ The unadjusted balance is $$3,000.$

At the end of the period, $$1,000$ of salaries had accumulated and will be paid the next period.

Unearned revenue of $$500$ was earned during the period.

Part $2($separate from Part $1)$

The accountant for Flagger Company prepared the following list of adjusted account balances from the

company's records for the year ended December $31,2020$:

Prepare the adjusted trial balance for Flagger Company as of December $31,2020.$

Part $3$

Using the trial balance, prepare an Income Statement, a Statement of Retained Earnings, and a

Balance Sheet for Flagger Company in good form. Then prepare the closing entries.