Question 4 Beginning balances of FRS Company's accounts as of January 1, 2018 as given below: Beg Balance Account Title Debit Credit Cash 365,800 Accounts Receivable 42,500 Supplies 13,000 Prepaid Insurance 0 Inventory 18,000 Equipment 46,000 Accumulated Depreciation- Equipment 20,000 Accounts Payable 82,500 Salary Payable 16,002 Unearned Sales Revenue 25,000 Equipment 46,000 Accumulated Depreciation- Equipment 20,000 Accounts Payable 82,500 Salary Payable 16,000 Unearned Sales Revenue 25,000 Capital 341,800 Withdrawals 0 Sales Revenue Sales Returns & Allowances Sales Discounts Cost of Goods Sold Insurance Expense Depreciation Expense-Equipment Supplies Expense Salary Expense A Total 485,300 485,300 During January 2018, FRS Company completed the following transactions: Jan 1: Paid 6 months insurance in advance for $10.800 Jan 2: Purchased 400 units of inventory for 32.000$ from Great Company, on terms 3/10, veom. And paid $2,000 of commissions and freight charges for the purchase from Great Company, Jan 4: Purchased 150 units of inventory from Deluxe Company on account with terms 2/5.1/30. Total invoice is $13.500 jan 5: Paid accrued salary of the December 2016, 516,000 Jan 13: Paid to Great Company Jan 15: Sold 600 units of goods to Shine Company for $90,000 ($150 each on account with terms 2/10, 1/30 jan 17: Received 50 units of goods back from Shine Company (Returned goods are from $85 of cost each), Jan 20. Received payment from Shine Company, setting the amount due in full Jan 22 Sold 40 units on account, $6,000 (5150 each) to Bridget Company Jan 27: Purchased supplies for cash of $13.000 On January 31, 2018 FRS Company completed following adjusting entries Expiration of prepaid insurance for one month Depreciation of equipment for the month $8.500 - Supplies used. 512.000 Unearned sales revenue still unearned, 312.000, Accrued salary of the january 2017 is 516,000 which will be paid on the 5 of February