Problem 3-5A (Algo) Applying the accounting cycle LO P1, P3, P4, P5, P6 On Aprili 1, Jiro Nozoml created a new travel agency. Adventure Travel. The following transactions occurred during the company's first month. Apni1 2 Nozoni invested $35,630 cash and coeputer equipment worth $30,000 in the conpany in exchange for fts cooesn stock. Apris 3 The company rented furnished office space by paying $3,000 cash for the first month's (April) rent. April 4 The coepany purchased $1,200 of office supplies for cash. Apri1 10 The company paid $2,160 cash for o 12 -month insurance policy. Coverage begins on April 11. April 14 . The conpany paid $800 cash for two weeks' salaries earned by eaployees. April 24 The company collected $11,000 cash for connissions revenue. April 28 The company paid $800 cash for two weeks' salaries earned by eeployees. April 29 The company paid $460 cash for minor repairs to computer equipment. April 30 the company paid $1,480 cash for this month's telephone bill. April 30 the company paid $1,570 cash in dividends. The company's chart of accounts follows: Use the following information to prepare adjusting entries: a. Prepald insurance of $120 expired this month. b. At the end of the month, $700 of office supplies are still available. c. This month's denreriation on comnuter enitinment ic $400 Use the following information to prepare adjusting entries: o. Prepaid insurance of $120 expired this month. b. At the end of the month, $700 of office supplies are still available. c. This month's depreciation on computer equipment is $400. d. Employees earned $600 of unpaid and unrecorded salatles as of month-end. e. The company earned $2,350 of commissions revenue that is not yet recorded at month-end. Required: 1. \& 2. Prepare journal entries to record the transactions for April and post them to ledger accounts in Requirement 6BGL tab. The company records prepaid and unearned items in balance sheet accounts. 3. Using account balances from Requirement 6BGL tab, prepare an unadjusted triat balance as of April 30 . 4. Journalize the adjusting entries for the month, and then post to the ledger on Requirement 6BGL tab, using April 30 Adjusted as the date. 5o. Using adjusted account balances from Requirement 6BGL tab, prepare an adjusted trial balance as of April 30. 5b. Prepare the income statement for the month of April 30. 5c. Prepare the statement of retained earnings for the month of April 30. 5d. Prepare the balance sheet at April 30. 6. Prepare journal entries to close the temporary accounts and then post to Requirement 6BGL tab, using April 30 Close as the date. 6b. Post the journal entries to the ledger. 7. Prepare a post-closing trial balance. Complete this question by entering your answers in the tabs below. 6b. Post the journal entries to the ledger. 7. Prepare a post-closing trial balance. Complete this question by entering your answers in the tabs below. Prepare the statement of retained earnings for the month of April 30
