Required:

Prepare the adjusted trial balance

Prepare the financial statements for January

Prepare the closing entries for January

Prepare the post-closing trial balance for January

Fuzzy Wuzzy began the Bear Company on 1/1/2020. Fuzzy invested $100,000 cash and received 1,000 shares of Bear no-par common stock. During the month of January, 2020, the following events occurred. 1/2/2020. Bear Company hired Eddie Clement to manage the company. Eddie will be paid $2,000 a month. Eddie is an expert designer and maker. Eddie is also a matchless marketer. 1/5/2020. Bear Company purchased 1 sewing machine for $50,000 each. The machine can make 10,000 dolls and has zero salvage value. Bear also rents a workshop for $1,000 a month. Bear pays the first and last month rent to Roman Company. 1/10/2020. Bear purchases on account $15,000 of sewing material. 1/15/2020. Bear completes 100 Yogi dolls. Bear uses $8,000 of the material on the dolls. Eddie spent 40 hours (one week on the dolls). 1/25/2020. Bear sells all 100 Yogi dolls for $15,000 cash. 1/31/2020. Bear receives its utility bill for the month of $1,000. Bear will pay it and Eddie for his work for the month of January on 2/2/2020