SP 3 Serial Problem Business Solutions (Algo) LO P1, P2, P3, P4, P5 After the success of the company's first two months, Santana Rey continues to operate Business Solutions. The November 30,2021 , unadjusted trial balance of Business Solutions (reflecting its transactions for October and November of 2021) follows. Business Solutions had the following transactions and events in December 2021 . Business Solutions had the following transactions and events in December 2021. Decueber 2 Paid $970 cash to Hi11side Mall for Business Solutions's share of mal1 advertising costs. December 3 Paid $440 canh for minor repalrs to the eompany' al computer. Decenber 4 Received $4,950 eash from Nlex's Engineering Company for the receivable from November. Decenber 10 Taid cask to Lyn Addie for six day of work at the rate of $105 per day. December 14 Notified by Mlex's Engineering Coepany that Buniness golutiona' 1 bid of $7,000 on a proposed project has been accepted. Rlex' b paid a $2,500 cash advance to businesi solutions. December 15 Purchased $1,700 of computer suppliel on eredit from Barria office Products. Deceaber 16 sent a reminder to fonez conpany to pay the fee for lervices recorded on Movenber B. Decenber 20 conpleted a project for tilu Corporation and received $6,075 cash. Decenber 2226 Took the veek off for the holidayl. Decesber 2g Recoived $3,500 cash from Gomez Company on ita receivable. Decenber 29 Reimburned 5 . Rey for business automobile mileage (400 miles at $0,22 per mile). Dectuber 11 Paid $1,300 cash for dividenda . The following additional facts are collected for use in making adjusting entries prior to preparing financial statements for the company's first three months. a. The December 31 inventory count of computer supplies shows $600 still avallable. b. Three months have expired since the 12 -month insurance premium was paid in advance. c. As of December 31, Lyn Addie has not been paid for four days of work at $105 per day. d. The computer system, acquired on October 1 , is expected to have a four-year life with no salvage value. e. The office equipment, acquired on October 1 , is expected to have a flive-year life with no salvage value. f. Three of the four months' prepoid rent have expired. Required: 1. Prepare journal entries to record each of the December transactions. Post those entries to the accounts in the ledger: 2-a. Prepare adjusting entries to refiect a through f. 2-b. Post the journal entries to record each of the December transactions, adjusting entries to the accounts in the ledger. 3. Prepare an adjusted trial balance as of December 31,2021. 4. Prepare an income statement for the three months ended December 31, 2021. 5. Prepare a statement of retained earnings for the three months ended December 31,2021 . 6. Prepare a classified bolance sheet as of December 31, 2021. 7. Record the necessary closing entries as of December 31,2021 8. Prepare a post-closing trial balance as of December 31, 2021 . \begin{tabular}{|c|c|c|c|} \hline Dave & Deblt & Credit & Ealance \\ \hline & & & \\ \hline & & & \\ \hline & & & \\ \hline & & & \\ \hline & & & \\ \hline & & & \\ \hline \end{tabular} \begin{tabular}{|c|c|c|c|} \hline \multicolumn{1}{|c|}{ E12. Depreciation Expense-Orfice Equipment } \\ \hline Dase & Debit & Credit & Balanes \\ \hline December 01 & & \\ \hline & & & \\ \hline & & & \\ \hline & & & \\ \hline & & & \\ \hline \end{tabular} \begin{tabular}{|c|c|c|} \hline Date & 640: Rent Expetise + \\ \hline Desit & Credit & Belance \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline \end{tabular} \begin{tabular}{|c|c|c|c|} \hline \multicolumn{3}{|c|}{ A63. Computer Siervicos Ravenue } \\ \hline Date & Debit & Credlt & Balarice \\ \hline December 01 & & & 29,274 \\ \hline & & & \\ \hline & & & \\ \hline & & & \\ \hline \end{tabular} 613: Depreciatlon Expense-Computor Equipment. \begin{tabular}{|c|c|c|c|} \hline Date & Debit & Credit & Balance \\ \hline December 01 & & & \\ \hline & & & \\ \hline & & & \\ \hline & & & \\ \hline & & \\ \hline \end{tabular} \begin{tabular}{|c|c|c|} \hline \multicolumn{1}{|c|}{ Date } & Deblt & Computer Suppties Expense \\ \hline December 01 & & \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline \end{tabular} Prey 9 of 6 It Next > Complete this question by entering your answers in the tabs below. Prepare a statement of retained earnings for the three months ended December 31, 2021. (i) Saved Plant assets Record the necessary closing entrles as of December 31, 2021. Journal entry worksheet Record the entry to close the revenue account(s). Note: Enter debits before credits. Journal entry worksheet Record the entry to close the expense account(s). Noten tenter debits before credits. Record the necessary dosing entries as of December 31,2021 . Journal entry worksheet Record the entry to close the Income summary account: Note: Enter debits before credits. Record the necessary dosing entrles as of December 31,2021. Journal entry worksheet Record the entry to close the dividends account. Nete: Enter debits before credits: Complete this question by entering your answers in the tabs below. Prepare a post-dosing trial balance as of December 31, 2021