Presented below is information related to Collen Company.

During the month of December 2022, the following events and transactions occurred:

1. 1st Dec, Shareholders invested 50,000 SAR, cash in exchange for ordinary shares.

2. 2nd Dec, Hired employees to begin work on December 27th, at a salary of 4,000 SAR per month.

3. 3rd Dec, Purchased 2,500 SAR of supplies on account.

4. 7th Dec, Paid office rent of 1,000 SAR cash for the month of December.

5. 10th Dec, Received cash of 1,200 SAR for services performed.

6. 15th Dec, Completed a tax assignment and billed client 5,800 SAR for services performed for

Como Company on account.

7. 20th Dec, Received 3,500 SAR cash advance on a management consulting engagement.

8. 24th Dec, Received cash of 5,800 SAR for services performed for Como Company.

9. 27th Dec, Paid employees 4,000 SAR salary for the month in cash.

10. 31st Dec, Paid dividend 2,000 SAR cash.

Instructions:

1. Analyze the above transactions by using the financial accounting equation.

2. Journalize the above transactions.

3. Post to the appropriate ledger accounts.

4. Prepare a Trial Balance in a good form, Dec 31, 2022.

5. Prepare an Income Statement, Dec 31, 2022.

6. Prepare a classified Balance Sheet (Financial Position Statement) at Dec 2022.