Preparing an income statement, the statement of retained earnings, and a balance sheet. thank you

C4-6 Recording/Posting Transactions and Adjustments, and Preparing Trial Balances and Financial Statements-Requires Calculating Depreciation and Interest (Chapters 2, 3, and 4) [LO 2-3, LO 3-3, LO 4- 2, LO 4-4) Fast Deliveries, Inc. (FDI), was organized in December last year and had limited activity last year. The resulting balance sheet at the beginning of the current year is provided below: Assets: Cash Accounts Receivable Supplies 300 FAST DELIVERIES, INC. Balance sheet at January 1 Liabilities: $11,300 Accounts Payable 650 Stockholders' Equity 200 Common Stock Retained Earnings $12,150 Total Liabilities and Stockholders' Equity Total Assets 11,550 300 $12,150 Two employees have been hired, at a monthly salary of $2,720 each. The following transactions occurred during January of the current year. Ch. 2 2 2 2 2 2 2 2 3 3 3 3 January 1 $4,200 is paid for 12 months' insurance starting January 1. (Record as an asset.) 2 $3,600 is paid for 12 months of rent beginning January 1. (Record as an asset.) 3 PDI borrows $28,800 cash from First State Bank at 68 annual interest; this note is payable in two years. 4 A delivery van is purchased using cash. Including tax, the total cost was $24,000. 5 Stockholders contributo $8,000 of additional cash to TDI for its common stock. 6 Additional supplies costing $1,200 are purchased on account and received. 7 $800 of accounts receivable arising from last year's December sales are collected. 8 $800 of accounts payable from December of last year are paid. 9 Performed services for customers on account. Sent invoices totaling $10,300. 10 $7,900 of services are performed for customers who paid immediately in cash. 16 $2,720 of salaries are paid for the first half of the month. 20 FDI receives $4,000 cash from a customer for an advance order for services to be provided later in January and in February. 25 $4,900 is collected from customers on account (see January 9 transaction). 3 Ch. 4 4 4 4 January Additional information for adjusting entries 31a. A $1,400 bill arrives for January utility services. Payment is due February 15. 3lb. Supplies on hand on January 31 are counted and determined to have cost $270. 310. As of January 31, FDI had completed 60% of the deliveries for the customer who paid in advance on January 20. 31d. Accrue one month of interest on the bank loan. Yearly interest is determined by multiplying the amount borrowed by the annual interest rate (expressed as 0.06). For convenience, calculate January interest as one-twelfth of the annual interest. 3le. Assume the van will be used for 4 years, after which it will have no value. Thus, each year, one-fourth of the van'a benefits will be used up, which implies annual depreciation equal to one-fourth of the van'a total cost. Record depreciation for the month of January, equal to one-twelfth of the annual depreciation expense. 31f. Salaries earned by employees for the period from January 16-31 are $1,360 per employee and will be paid on February 3. 319. Adjust the prepaid asset accounts (for rent and insurance) as needed. 4 4 4 Complete this question by entering your answers in the tabs below. Req 5A Reg 5B Req 5C Prepare an income statement. FAST DELIVERIES, INC. Income Statement For the Month Ended January 31 Revenues Service Revenue C4-6 Part 5 5-a. Prepare an income statement. 5-b. Prepare the statement of retained earnings. 5-c. Prepare the balance sheet. Complete this question by entering your answers in the tabs below. Req 5A Req 5B Req 5C Prepare the statement of retained earnings. FAST DELIVERIES, INC. Statement of Retained Earnings Retained earnings, beginning of period Retained earnings, end of period $