Question 2 View Policies Current Attempt in Progress Cullumber Company's balance sheet at December 31, 2021, is presented below. Cullumber Company Balance Sheet December 31, 2021 Cash $13,310 Accounts payable $8,900 Accounts receivable 20,100 Common stock 18,800 Allowance for doubtful accounts (720) Retained earnings 14,810 Inventory 9,820 $42,510 $42,510 During January 2022, the following transactions occurred. Cullumber uses the perpetual inventory method. Jan. 1 Cullumber accepted a 4-month, 8% note from Betheny Company in payment of Betheny's $4,800 account. 3 Cullumber wrote off as uncollectible the accounts of Walter Corporation ($500) and Drake Company ($300). 8 Cullumber purchased $15,760 of inventory on account. 11 Cullumber sold for $26,200 on account inventory that cost $18,330. 15 Cullumber sold inventory that cost $750 to Jack Rice for $1,100. Rice charged this amount on his Visa First Bank card. The service fee charged Cullumber by First Bank is 3%. 17 Cullumber collected $21,700 from customers on account. 21 Cullumber paid $15,900 on accounts payable. Adjustment data: 1. Interest is recorded for the month on the note from January 1. 2. Bad debts are expected to be 6% of the January 31, 2022, accounts receivable. 3. A count of advertising supplies on January 31, 2022, reveals that $510 remains unused. 4. The income tax rate is 30%. (Hint: Prepare the income statement up to Income before taxes and multiply by 30% to compute the amount; round to whole dollars.) (You may want to set up T-accounts to determine ending balances.) Prepare an adjusted trial balance at January 31, 2022. (Round answers to 0 decimal places, eg. 1,250.) CULLUMBER COMPANY Adjusted Trial Balance Debit Prepare an income statement for the month ending January 31, 2022. (Round answers to O decimal places, e.g. 1,250.) CULLUMBER COMPANY Income Statement CULLUMBER COMPANY Retained Earnings Statement Liabilities and Stockholders' Equity eTextbook and Media List of Accounts Prepare a classified balance sheet as of January 31, 2022. (List Current Assets in order of liquidity. Round answers to 0 decimal places, e.g. 1,250.) CULLUMBER COMPANY Balance Sheet Assets e Textbook and Media List of Accounts