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Problem 1 (81 points) On December 1, 2020, Sigma Distributing had the following account balances. During December, the company completed the following summary transactions. Adjustment
Problem 1 (81 points) On December 1, 2020, Sigma Distributing had the following account balances. During December, the company completed the following summary transactions. Adjustment data: 1. Accrued salaries and wages payable 800. 2. Depreciation 200 per month. 3. Supplies on hand 1,700. Instructions a. Journalize the December transactions using a perpetual inventory system (18 points).] b. Enter the December 1 balances in the ledger T-accounts and post the December transactions. Use Cost of Goods Sold, Depreciation Expense, Salaries and Wages Expense, Sales Revenue, Sales Discounts, and Supplies Expense (16 points). c. Journalize and post adjusting entries (6 points). d. Prepare an adjusted trial balance (17 points). e. Prepare an income statement and a retained earnings statement for December and a classified statement of financial position at December 31 (24 points)
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