Required information

Exercise $3-20($Algo$)$ Record transactions and prepare adjusting entries, adjusted trial balance, financial statements, and closing entries $($LO$3-3,3-4,3-5,3-6,3-7)$

$[$The following information applies to the questions displayed below.$]$

On January $1,2024,$ Red Flash Photography had the following balances: Cash, $$25,000$; Supplies, $$9,300$; Land, $$73,000$; Deferred Revenue, $$6,300$; Common Stock $$63,000$; and Retained Earnings, $$38,000.$ During $2024,$ the company had the following transactions:

February $15$ Issue additional shares of common stock, $$33,000.$

May $20$ Provide services to customers for cash, $$48,000,$ and on account, $$43,000.$

August $31$ Pay salaries to employees for work in $2024,$ $$36,000.$

October $1$ Purchase rental space for one year, $$25,000.$

November $17$ Purchase supplies on account, $$35,000.$

December $30$ Pay dividends, $$3,300.$

The following information is available on December $31,2024$:

Employees are owed an additional $$5,300$ in salaries.

Three months of the rental space have expired.

Supplies of $$6,300$ remain on hand. All other supplies have been used.

All of the services associated with the beginning deferred revenue have been performed.