Samson's Snow Plow, Inc. Chapter 4 Homework- December During the third month of Samson's Snow Plow's operation, the business engaged in the following activities Business Transactions 16. Plowed 15 parking lots for cash charging $75 per lot. 17. Received payment in advance from Stan's Cheese Boutique, Louis Plumbing, and Salys Sportswear for plowing during the months of January, February, and March totaling $675 (3 lots, 3 months, $75 per month). 18. Billed 12 customers after plowing their lots during December. Total billings were $900. Requested payment within 30 days. 19. Received payments from 8 customers ($75 each) for plowing services performed in November 20. Paid Joey Carmike, Samson's single employee, $12/hour for 80 hours of work 21. Paid for 85 gallons of fuel at an average price of $4.05/gallon. Adjustments: 22. Depreciation Expense for the first quarter $212.50. 23. Samson's Snow Plow used the storage unit for the month of December. (Adjust the prepaid rent account accordingly) 24. Plowed Rainbow Lake Cemetery and Buds Sports Bar during December. These customers paid in advance during November. (See transaction 7). 25. Plowed 4 lots on December 31. Customers have not been billed and journal entry has not been recorded 26. Accrued interest on the note payable with Rainbow Lake State Bank $75. Interest payment will be made at the beginning of the second quarter (January 2027). 27. At the end of the month, Samson counted the remaining supplies and determined that $145 of supplies were still on hand. 28. Samson was profitable during the month of December. As a result, the company must pay $242.48 in Income Taxes. The taxes will be paid at the beginning of the second quarter (January 2027) Samson's loan contract with Rainbow Lake State Bank requires that he provide GAAP financial statements at the end of every quarter. Samson started his business in October 2026. Therefore, quarter end dates are as follows: December 31, March 31, June 30, and September 30. Required: Record transactions (16) through (21) in a journal. Post the journal entries to T-accounts. (T-Accounts have the foll owing beginning balances) Cash $9,220; A/R $1,125; Supplies $200, Prepaid Rent $120; Equipment $10,000, Accumulated Depreciation $0 a. b. Trademark $330 Accounts Payable $100; Deferred Revenue $450; Income Tax Payable $133.50; Notes Payable $10,000 Common Stock $10,000; Retained Earnings $311.50 Prepare a Trial Balance at December 31, 2026. Prepare adjusting entries for (22) through (27) and post them to the T-Accounts Prepare an Adjusted Trial Balance at December 31, 2026 Prepare an Income Statement and a Retained Earnings Statement for the month ended December 31, 2026 along with a classified Balance Sheet at December 31, 2026. Calculate Debt-to-Equity Ratio, Current Ratio, and Net Profit Margin as of December 31, 2026 C. d. e. f. Check figures: Cash $10,315.75; Total Assets $22,403.25; Total Liabilities $11,525.98; Net Income $565 7 Samson's Snow Plow, Inc. Chapter 4 Homework- December During the third month of Samson's Snow Plow's operation, the business engaged in the following activities Business Transactions 16. Plowed 15 parking lots for cash charging $75 per lot. 17. Received payment in advance from Stan's Cheese Boutique, Louis Plumbing, and Salys Sportswear for plowing during the months of January, February, and March totaling $675 (3 lots, 3 months, $75 per month). 18. Billed 12 customers after plowing their lots during December. Total billings were $900. Requested payment within 30 days. 19. Received payments from 8 customers ($75 each) for plowing services performed in November 20. Paid Joey Carmike, Samson's single employee, $12/hour for 80 hours of work 21. Paid for 85 gallons of fuel at an average price of $4.05/gallon. Adjustments: 22. Depreciation Expense for the first quarter $212.50. 23. Samson's Snow Plow used the storage unit for the month of December. (Adjust the prepaid rent account accordingly) 24. Plowed Rainbow Lake Cemetery and Buds Sports Bar during December. These customers paid in advance during November. (See transaction 7). 25. Plowed 4 lots on December 31. Customers have not been billed and journal entry has not been recorded 26. Accrued interest on the note payable with Rainbow Lake State Bank $75. Interest payment will be made at the beginning of the second quarter (January 2027). 27. At the end of the month, Samson counted the remaining supplies and determined that $145 of supplies were still on hand. 28. Samson was profitable during the month of December. As a result, the company must pay $242.48 in Income Taxes. The taxes will be paid at the beginning of the second quarter (January 2027) Samson's loan contract with Rainbow Lake State Bank requires that he provide GAAP financial statements at the end of every quarter. Samson started his business in October 2026. Therefore, quarter end dates are as follows: December 31, March 31, June 30, and September 30. Required: Record transactions (16) through (21) in a journal. Post the journal entries to T-accounts. (T-Accounts have the foll owing beginning balances) Cash $9,220; A/R $1,125; Supplies $200, Prepaid Rent $120; Equipment $10,000, Accumulated Depreciation $0 a. b. Trademark $330 Accounts Payable $100; Deferred Revenue $450; Income Tax Payable $133.50; Notes Payable $10,000 Common Stock $10,000; Retained Earnings $311.50 Prepare a Trial Balance at December 31, 2026. Prepare adjusting entries for (22) through (27) and post them to the T-Accounts Prepare an Adjusted Trial Balance at December 31, 2026 Prepare an Income Statement and a Retained Earnings Statement for the month ended December 31, 2026 along with a classified Balance Sheet at December 31, 2026. Calculate Debt-to-Equity Ratio, Current Ratio, and Net Profit Margin as of December 31, 2026 C. d. e. f. Check figures: Cash $10,315.75; Total Assets $22,403.25; Total Liabilities $11,525.98; Net Income $565 7