Part 1: Record the following transactions for Classic Canine Cuts for the month of December in the General Journal. Transaction Date Description 1 12/1 Issued 100,000 shares of common stock for $100,000. 2 12/2 A retail space is rented. Paid for one year of rent in advance totaling $24,000. (rent is $2,000 per month) 3 12/4 Purchased equipment for the business totaling $36,000. 4 12/5 Purchased $1,500 of supplies on account. 5 12/7 Provided services to customers for cash totaling $5,000. 6 12/9 Purchased an ad in the local newspaper to run during December for $400. 7 12/12 Customers purchased $1,000 of gift certificates for services to be provided in the future (pre-paid for future services). 8 12/15 Paid employee salaries for the first half of December totaling $1,200. 9 12/17 Paid $1,000 for the supplies that were purchased on December 5th. 10 12/20 Provided $2,500 of services to customers on account. 11 12/25 Paid a cash dividend of $800 to the shareholders. 12 12/30 Received $1,500 on account for services provided on 12/20. Part 2: Post all of the transactions for the month of December from the General Journal to the General Ledger. Part 3: Complete a Trial Balance as of December 31, 2019. Page 3 Part 4: Record the adjusting entries for Classic Canine Cuts for the month of December in the General Journal. Transaction Date Description Adj. 1 12/31 One month of rent that was prepaid has been used for the month of December. Adj. 2 12/31 The equipment purchased for $36,000 has a useful life of 5 years and no salvage value. (Monthly depreciation is $600.) Adj. 3 12/31 At the end of December, $1,000 of supplies remain on hand. Adj. 4 12/31 By the end of December $700 worth of the gift certificates had been redeemed by customers (revenue earned) for grooming services and had not been recorded. Adj. 5 12/31 Salaries for the second half of December are $1,400, but they will not be paid until January 3rd. Part 5: Post all of the adjusting entries for the month of December from the General Journal to the General Ledger. Part 6: Complete an Adjusted Trial Balance as of December 31, 2019. * Remember a balance in an account on the trial balance will carry over to the adjusted trial balance if it was not changed by an adjusting journal entry.* Part 7: Complete an Income Statement for the month ended December 31, 2019. Part 8: Complete a Statement of Retained Earnings for the month ended December 31, 2019. Part 9: Prepare a Balance Sheet as of December 31, 2019. Part 10. Record the closing entries for the year ending December 31, 2019. Part 11. Post all of the year end closing entries from the General Journal to the General Ledger. Part 12. Prepare a Post-Closing Trial Balance. Page 4 General Journal Part 1 Ref # Date Account Debit Credit 1 2 3 4 5 6 7 8 9 Page 5 General Journal Part 1 (Continued) Ref # Date Account Debit Credit 10 11 12 General Journal Adjusting Entries Part 4 Ref # Date Account Debit Credit A 1 A 2 A 3 A. 4 A. 5 Page 6 General Ledger Parts 2,5,11 TB = Trial Balance Total ATB = Adjusted Trial Balance Total CB= Closing Balance Total Post Journal references in left column for debits and right column for credits in each account. Assets Ref # Cash Ref # Debit Credit TB Ref # # Accounts Receivable Ref # Debit Credit TB Ref # Supplies Ref # Debit Credit TB ATB Ref # Prepaid Rent Ref # Debit Credit TB ATB Ref # Equipment Ref # Debit Credit TB Ref # Accumulated Depreciation Ref # Debit Credit ATB Page 7 Liabilities Ref # Accounts Payable Ref # Debit Credit TB Ref # Salaries Payable Ref # Debit Credit ATB Ref # Unearned (Deferred) Revenue Ref # Debit Credit TB ATB Page 8 Stockholders Equity Ref # Common Stock Ref # Debit Credit TB Ref # Dividends Ref # Debit Credit TB CB Ref # Retained Earnings Ref # Debit Credit CB Page 9 Revenue Ref # Service Revenue Ref # Debit Credit TB ATB CB Expenses Ref # Advertising Expense Ref # Debit Credit TB CB Page 10 Ref # Salaries Expense Ref # Debit Credit TB ATB CB Ref # Depreciation Expense Ref # Debit Credit ATB CB Ref # Rent Expense Ref # Debit Credit ATB CB Ref # Supplies Expense Ref # Debit Credit ATB CB Page 11 Part 3 Classic Canine Cuts Trial Balance December 31, 2019 Account Debit Credit $ $ Total $ $ Page 12 Part 6 Classic Canine Cuts Adjusted Trial Balance December 31, 2019 Account Debit Credit $ $ Total $ $ Page 13 Part 7 Classic Canine Cuts Income Statement For the Month Ended December 31, 2019 Revenue $ Expenses $ Total Expenses $ Net Income $ Part 8 Classic Canine Cuts Statement of Retained Earning December 31, 2019 Retained Earnings Beginning Balance, December 1, 2019 $ Ending Balance, December 31, 2019 $ Page 14 Part 9 Classic Canine Cuts Balance Sheet December 31, 2019 Assets Liabilities Total Current Liabilities Total Current Assets Property Plant and Equipment Total Liabilities Stockholders Equity Total Property Plant and Equipment Total Stockholders Equity Total Assets Total Liabilities and Stockholders Equity Page 15 General Journal Closing Entries Part 10 Revenue, Expense and Dividend accounts. Ref # Date Account Debit Credit C.1 C.2 C.3 Page 16 Part 12 Classic Canine Cuts Post-Closing Trial Balance December 31, 2019 Account Debit Credit $ $ Total $ $