Pastina Company sells various types of pasta to grocery chains as private label brands. The company's reporting year-end Is December 31. The unadjusted trial balance as of December 31, 2021, appears below. Credits Dcbits 33, ARA 41.800 2,400 61,800 21,8ee 1,800 7,800 87,200 32,780 32,800 51,800 Account Title Cach Accounts receivable Supplies Inventory Notes receivable Interest receivable Prepaid rent Prepaid insurance of ice equipment Accumulated depreciation Accounts payable Salaries payable Notes payable Interest payable De-erred sales revenue Common stock Retained earnings Dividends Sales revenue Interest revenue Cost of goods sold Salaries expense Rent expense Deprecia Llun expense Interest expense Supplies axence Insurance expense Advertising expense Totals 2,900 72,600 33,20 5,800 155.000 79, eee 19,800 11,980 2, ARA 3,980 380.800 388,888 Infomation necessary to prepare the year-end adjusting entries appears below. 1. Depreciation on the office equipment for the year is $10,900. 2. Employee salaries are paid twice a month, on the 22nd for salaries earned from the 1st through the 15th, and on the 7th of the following month for salaries earned from the 16th through the end of the month. Salaries earned from December 16 through December 31, 2021, were $1,200. 3. On October 1, 2021, Pastina borrowed $51,800 from a local bank and signed a note. The note requires Interest to be pald annually on September 30 at 12%. The principal is due in 10 years. 4. On March 1, 2021, the company lent a supplier $21,800 and a note was signed requiring principal and Interest at 8% to be paid on February 28, 2022. 5. On April 1, 2021, the company pald an Insurance company $7,800 for a one-year fire Insurance policy. The entire $7,800 was debited to prepald Insurance. 6. $740 of supplies remained on hand at December 31, 2021. 7. A customer paid Pastina $2,900 in December for 1,200 pounds of spaghetti to be delivered in January 2022. Pastina credited deferred sales revenue. 8. On December 1, 2021, $1,800 rent was paid to the owner of the building. The payment represented rent for December 2021 and January 2022 at $900 per month. The entire amount was debited to prepaid rent. 4. Prepare an Income statement and a statement of shareholders' equity for the year ended December 31, 2021, and a classified balance sheet as of December 31, 2021. Assume that no common stock was issued during the year and that $5,800 in cash dividends were paid to shareholders during the year. Complete this question by entering your answers in the tabs below. Income Statement Statement of SE Balance Sheet
