Post the journal entries to record each of the December transactions from Requirement 1 and adjusting entries from Requirement 2A. After com the closing entries to the general ledger accounts. Business Solutions had the following transactions and events in December 2020. December 2 Paid $930 cash to Hillside Mall for Business Solutions's share of mall advertising costs. December 3 Paid $420 cash for minor repairs to the company's computer. December 4 Received \$4,450 cash from Alex's Engineering Co. for the receivable from November. December 10 Paid cash to Lyn Addie for six days of work at the rate of $100 per day. December 14 Notified by Alex's Engineering Company that Business Solutions's bid of $7,200 on a proposed project has been accepted. Alex's paid a $1,500 cash advance to Business Solutions. December 15 Purchased $1,100 of computer supplies on credit from Harris Office Products. December 16 Sent a reminder to Gomez Company to pay the fee for services recorded on November 8. December 20 Completed a project for Liu Corporation and received \$6,525 cash. December 22-26 Took the week off for the holidays. December 28 Received $3,900 cash from Gomez Company on its receivable. December 29 Reimbursed S. Rey for business automobile mileage (400 miles at $0.23 per mile). December 31 The company paid $1,300 cash in dividends. The following additional facts are collected for use in making adjusting entries prior to preparing financial statements for the company's first three months. a. The December 31 inventory count of computer supplies shows $680 still available. b. Three months have expired since the 12 -month insurance premium was paid in advance. c. As of December 31, Lyn Addie has not been paid for four days of work at $100 per day. d. The computer system, acquired on October 1 , is expected to have a four-year life with no salvage value. e. The office equipment, acquired on October 1, is expected to have a five-year life with no salvage value. f. Three of the four months' prepaid rent have expired. \begin{tabular}{|c|c|} \hline \multicolumn{2}{|c|}{ BUSINESS SOLUTIONS } \\ \hline \multicolumn{2}{|c|}{ Statement of Retained Earnings } \\ \hline For Three Months Ended December 31, 2020 \\ \hline Retained earnings, October 1,2020 \\ \hline & \\ \hline & \\ \hline \end{tabular} After the success of the company's first two months, Santana Rey continues to operate Business Solutions. The November 30, 2020, unadjusted trial balance of Business Solutions (reflecting its transactions for October and November of 2020) follows. \begin{tabular}{|c|c|c|c|c|c|c|c|} \hline \multicolumn{4}{|c|}{ 677: Miscellaneous Expense } & \multicolumn{4}{|c|}{ 684: Repairs Expense-Computer } \\ \hline Date & Debit & Credit & Balance & Date & Debit & Credit & Balance \\ \hline December 01 & & & 230 & December 01 & & & 765 \\ \hline \\ \hline \\ \hline & & & & & & & \\ \hline \multicolumn{8}{|c|}{ 901: Income Summary } \\ \hline Date & Debit & Credit & Balance & & & & \\ \hline & & & & & & & \\ \hline & & & & & & & \\ \hline & & & & & & & \\ \hline & & & & & & & \\ \hline \end{tabular} \begin{tabular}{|c|c|c|} \hline Depreciation expense-Office & & \\ \hline Depreciation expense-Comp & & \\ \hline Wages expense & & \\ \hline Insurance expense & & \\ \hline Rent expense & & \\ \hline Computer supplies expense & & \\ \hline Advertising expense & & \\ \hline Mileage expense & & \\ \hline Miscellaneous expenses & & \\ \hline Repairs expense-Computer & & \\ \hline Totals & & \\ \hline \end{tabular} Journal entry worksheet 6 As of December 31, Lyn Addie has not been paid for four days of work at $100 per day. Note: Enter debits before credits. Prepare a post-closing trial balance as of December 31, 2020. \begin{tabular}{|c|c|c|c|c|c|c|c|} \hline \multicolumn{4}{|c|}{ 131: Prepaid Rent } & \multicolumn{4}{|c|}{ 163: Office Equipment } \\ \hline Date & Debit & Credit & Balance & Date & Debit & Credit & Balance \\ \hline \multirow[t]{3}{*}{ December 01} & & & 2,940 & December 01 & & & 8,600 \\ \hline & & & & & & & \\ \hline & & & & & & & \\ \hline \multicolumn{4}{|c|}{ 164: Accumulated DepreciationOffice Equipment } & \multicolumn{4}{|c|}{ 167: Computer Equipment } \\ \hline Date & Debit & Credit & Balance & Date & Debit & Credit & Balance \\ \hline December 01 & & & 0 & December 01 & & & \multirow[t]{3}{*}{21,600} \\ \hline & & & & & & & \\ \hline & & & & & & & \\ \hline \multicolumn{4}{|c|}{ 168: Accumulated Depreciation-Computer Equipment } & \multicolumn{4}{|c|}{ 201: Accounts Payable } \\ \hline Date & Debit & Credit & Balance & Date & Debit & Credit & Balance \\ \hline December 01 & & & 0 & \multirow[t]{3}{*}{ December 01} & & & \multirow[t]{3}{*}{ c } \\ \hline & & & & & & & \\ \hline & & & & & & & \\ \hline \multicolumn{4}{|c|}{ 210: Wages Payable } & \multicolumn{4}{|c|}{ 236: Unearned Computer Services Revenue } \\ \hline Date & Debit & Credit & Balance & Date & Debit & Credit & Balance \\ \hline December 01 & & & 0 & December 01 & & & 0 \\ \hline & & & & & & & \\ \hline \end{tabular} BUSINESS SOLUTIONS Adjusted Trial Balance December 31, 2020 Account Title Cash Accounts receivable Computer supplies Prepaid insurance Prepaid rent Office equipment Accumulated depreciation-Office equipment Computer equipment Accumulated depreciation-Computer equipment Accounts payable Wages payable Unearned computer services revenue Common stock Retained earnings Dividends Computer services revenue Depreciation expense-Office equipment Depreciation expense-Computer equipment Journal entry worksheet The office equipment, acquired on October 1 , is expected to have a five-year life with no salvage value. Note: Enter debits before credits. Journal entry worksheet Three months have expired since the 12-month insurance premium was paid in advance. Note: Enter debits before credits. Journal entry worksheet The computer system, acquired on October 1 , is expected to have a four-year life with no salvage value. Note: Enter debits before credits. 1. Prepare journal entries to record each of the December transactions and events for Business Solutions. 2-a. Prepare adjusting entries to reflect a through f. 2-b. Post the journal entries to record each of the December transactions from Requirement 1 and adjusting entries from Requirement 2A. After completing Requirement 7, post the closing entries to the general ledger accounts. 3. Prepare an adjusted trial balance as of December 31, 2020. 4. Prepare an income statement for the three months ended December 31, 2020. 5. Prepare a statement of retained earnings for the three months ended December 31, 2020. 6. Prepare a balance sheet as of December 31, 2020. 7. Record the necessary closing entries as of December 31, 2019 and then post the closing entries to the general ledger in Requirement 2B. 8. Prepare a post-closing trial balance as of December 31, 2020. Journal entry worksheet The December 31 inventory count of computer supplies shows $680 still available. Note: Enter debits before credits. 623: Wages Expense \begin{tabular}{|c|c|c|c|} \hline \multicolumn{1}{|c|}{ Date } & Debit & Credit & Balance \\ \hline December 01 & & & \\ \hline & & & \\ \hline & & & \\ \hline & & & \\ \hline & & & \\ \hline & 640 : Rent Expense & \\ \hline & Debit & Credit & Balance \\ \hline Date & & & \\ \hline December 01 & & & \\ \hline & & & \\ \hline & & & \\ \hline \end{tabular} 655: Advertising Expense \begin{tabular}{|l|l|l|r|} \hline \multicolumn{1}{|c|}{ Date } & Debit & Credit & Balance \\ \hline December 01 & & & 1,658 \\ \hline & & & \\ \hline & & & \\ \hline & & & \\ \hline \end{tabular} 637: Insurance Expense \begin{tabular}{|c|c|c|c|} \hline \multicolumn{5}{|c|}{ 652: Computer Supplies Expense } \\ \hline Date & Debit & Credit & Balance \\ \hline December 01 & & & \\ \hline & & & \\ \hline & & & \\ \hline & & & \\ \hline & & \\ \hline \end{tabular} \begin{tabular}{|c|c|c|c|} \hline \multicolumn{4}{|c|}{ 676: Mileage Expense } \\ \hline Date & Debit & Credit & Balance \\ \hline December 01 & & & 614 \\ \hline & & & \\ \hline & & & \\ \hline & & & \\ \hline \end{tabular}