Scenario:
In the vibrant business arena, "Sunrise Ventures," "Zenith Corp.," "Meteor Enterprises," "Summit Retailers," and "Crescent Holdings" initiated operations on January 1, 20X1. Throughout the year, these entities conducted various transactions to drive their business objectives. We will meticulously record these transactions through journal entries, followed by the preparation of a trial balance, income statement, and balance sheet as of December 31, 20X1.
Transactions:

1. Sunrise Ventures issued 3,500 shares of common stock at $55 per share, significantly increasing their cash reserves.
2. Zenith Corp. purchased inventory worth $45,000 on credit from Summit Retailers, expanding their stock to meet increasing demand.
3. Meteor Enterprises sold goods for $55,000 in cash, demonstrating their sales effectiveness.
4. Crescent Holdings paid Summit Retailers $35,000 for the inventory purchased, showcasing sound financial management.
5. Summit Retailers invested in a new computer system, acquiring it for $85,000 in cash to enhance their operational efficiency.

Instructions:

1. Record each transaction meticulously in the general journal, adhering to the principles of double-entry bookkeeping.
2. Methodically post journal entries to the trial balance, ensuring accuracy and integrity in financial reporting.
3. Systematically prepare an income statement for the fiscal year ended December 31, 20X1, outlining revenue, expenses, and net income.
4. Strategically compile a balance sheet as of December 31, 20X1, encapsulating the financial position of the entities, including assets, liabilities, and equity.