Part B: The second part of this assignment is very similar to Part A. You may reference the solution to the transaction analysis spreadsheet from Part A to help you in Part B. Your assignment in Part B is to first prepare journal entries in the General Journal tab of this spreadsheet for the same transactions that you analyzed in Part A. After preparing your journal entries, post your entries to the T-accounts in the General Ledger (T-Accounts) tab. Start by inserting the beginning balances in the T-accounts from the Year 0 Balance Sheet and then post your journal entries from the General Journal. Next, calculate the ending balance in each account. Then, prepare Year 1 financial statements based on the ending balances in each T-account. Finally, go back to the General Journal and prepare closing entries. Post your closing entries to the General Ledger T-accounts. Finally, prepare a Post-Closing Trial Balance, Adomain Income Statement for Year ended December 31, Year 0 AWNE $146,500 Revenues Sales Revenue 6 Expenses 7 Cost of Goods Sold 8 R&D Expense 9 Sales Commissions 10 Marketing Expense 11 Rent Expense 12 Other Operating Expenses 13 Income from Operations 14 Interest Income 15 Income before Taxes 16 Income Tax Expense 17 Net Income 18 (62,500) (9,100) (3,000) (9,000) (5,700) (23,000) $34,200 400 34,600 (8,500) 26.100 Adomain Balance Sheet As of December 31, Year O > 4 Assets 5 Cash 6 Marketable Securities Accounts Receivable 8 Inventory 9 PP&E (net) 10 Intangible Assets 11 Other Long-Term Assets 12 Total Assets $80,000 6,700 20,000 25,000 34.700 10,500 15,000 $191,900 13 14 Liabilities & Equity 15 Accounts Payable 16 Notes Payable' 17 Unearned Revenue 18 Income Tax Payable 19 Common Stock 20 Retained Earnings 21 Total Liabilities & Equity $45,000 28.500 50.000 4.300 45,000 19,100 $191,900 22 www.www.FORMULS MUST BE USED DO NOT HARD CODE ANY NUMBER. PP8E Inet) BB Interest Payable Salaries Expense BB Common Stock Marketing Expense BB EB Marketable Securit Other LT Assets Retained Earnings BB Accounts Receivable Sales Revenue Rent Expense BB EB Cost of Goods Sold Supples Expense 30 T EB EB Prepaid Rent B C D Accounts Receivable Accounts Payable Sales Revenue Rent Expense BB tes Payable Cost of Goods Sold koro Supplies Expense Prepaid Rent Sales Commissions me Tax Payable R&D EN BB BB ----- EB Adomain Income Statement For the year ended December 31, Year 1 Revenues .......................................... Lupenses B Income from Operations 5 Income before Taxes B Net Income Adomain Income Statement For the year ended December 31, Year 1 Revenues ............................................... Lupenses B 4 Income from Operations 5 Income before Taxes B Net Income Adomain Balance Sheet As of December 31, Year 1 Assets + Total Assets 5 Liabilities & Equity B 4 5 Total Liabilities & Equity DR CR Total TELEFON January 1Purchased patent for $12.000 in cash March 15 and 1.500 h for long term asset Pred $25,000 for rent for the next 12 months and recorded the transaction as an as issued 1000.common shares to nestors for $60.000 Sold inventory on account for 100DNO the cost of the inventory Was .000 A a ds this sale of $10,000 (0) Paid $11.400 cash for costs related to research and devement of new products Received 24.000 in cash in advance for forvices. Thes e will be provided over the course of 6 months beginning on Dec 10 Received the cash to settle $65.000 of the receivables recorded on April 1 Paid last years come tax liability Purchased anyatory for $15,000. Pad a in cash and recorded A unts Payable for the remaining balance Received 20.000 in cash relating to the Accounts Receivable in Bansaction 5 Sept 30 Purchased supplies $2.000 in cash the accountant accedentally recorded the supplies in the Accounts Receivable account October the accountant recorded an adustment to correct the entry made in 12 so that the account will reflect what shout have been record October 1Purchased marketable securities for $0.0.0 October Borrowed $20.000 from a local bank and and a year nak payable promise to pay 10 interest. eninterest is dus and record mployee a s earned amounted to ,000. The company. Ra4 ,000 on Dec and the remainder will be paid on lan lYear 2 income tax for Year 13 0012,500 paid that and the remainda be paid on of Year Recent r ate adjustinantyelated to anation e B o ate dating entry related to transaction S o n hand on Decatharidust and th o rditeadusting entry led to the not payable