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. December 2 Paid $1,015 cash to Hiltside Mall for Business Solutions's share of mall advertising costs. December 3 Paid $490 cash for ainor repairs to the company's computer. December 4 Received $4,250. cash from Alex's Engineering Company for the receivable from November. December 10 Paid cash to Lyn Addie for six days of work at the rate of $120 per day. December 14 Notified by Alex's Engineering Company that Business Solutions's bid of $7,400 on a proposed project has been accepted. Alex's paid a $1,600 cash advance to Business Solutions. December 15 Purchased $1,700 of computer 5 upplies on credit from Harris office Products. December 16 Sent a reminder to Gomez Company to pay the fee for services recorded on November 8. December 20 completed a project for Liu Corporation and received $6,275 cash. December 22-26 Took the week off for the holidays. Decenber 28 Received $3,500 cash fron Gomez Company on its receivable. December 29 Reimbursed S. Rey for business automobile mileage ( 500 niles at $0.32 per mile). December 31 Paid $1,100 cash for dividends. 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 $590 still available. 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 $120 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 five-year life with no salvage value. f. Three of the four months' prepaid rent have expiredi. 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 reflect 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. 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 reflect 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 balance 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. Complete this question by entering your answers in the tabs below. Prepare journal entries to record each of the December transactions. Post those entries to the accounts in the ledger. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) \begin{tabular}{|l|l|l|l|l|l|} \hline \multicolumn{1}{|c|}{ No } & Date & \multicolumn{1}{c|}{ General Journal } & Debit & Credit \\ \hline & December 02 & Advertising expense & 1,015 & \\ \hline & & Cash & 1,015 \\ \hline & & & 490 & \\ \hline & & December 03 & Repairs expense-Computer & & \\ \hline & & Cash & 4,250 & \\ \hline & & & & \\ \hline \end{tabular} Prev 1 of 4 Hext > View transaction list View journal entry worksheet \begin{tabular}{|c|c|c|c|c|c|} \hline \multicolumn{1}{|c|}{ No } & Transaction & \multicolumn{1}{|c|}{ General Journal } & Dobit & Credit \\ \hline & 1 & a. & Computer supplies expense & 590 & \\ \hline & & Computer supplies & & \\ \hline & & & 590 \\ \hline \end{tabular} \begin{tabular}{|c|c|c|c|} \hline \multicolumn{3}{|c|}{ 307: Common Stock } \\ \hline Date & Dobit & Credit & Balance \\ \hline December 01 & & & 63,000 \\ \hline & & & \\ \hline & & & \\ \hline & & & \\ \hline \end{tabular} Pportunity \begin{tabular}{|l|l|l|} \hline \multicolumn{1}{|c|}{ BUSINESS SOLUTIONS } & \multicolumn{1}{c|}{ Adjusted Trial Balance } \\ \hline \multicolumn{1}{|c|}{ December 31, 2021} & Cccount Title & \\ \hline Cash & Debit & \\ \hline Accounts receivable & & \\ \hline Computer supplies & & \\ \hline Prepaid insurance & & \\ \hline Prepaid rent & & \\ \hline Office equipment & & \\ \hline Accumulated depreciation-Office equipment & \\ \hline Computer equipment & & \\ \hline Accumulated depreciation-Computer equipment & & \\ \hline Accounts payable & & \\ \hline Wages payable & & \\ \hline Unearned computer services revenue & \\ \hline Common stock & & \\ \hline Retained earnings & & \\ \hline Dividends & & \\ \hline Computer services revenue & & \\ \hline Depreciation expense- Office equipment & \\ \hline Depreciation expense-Computer equipment & \\ \hline Wages expense & & \\ \hline Insurance expense & & \\ \hline \end{tabular} UIILE EUIPIIEII Predare an income statement for the throe manthe andind namamhan of innas Prepare a statement of retained earnings for the three months ended December 31,2021. \begin{tabular}{|c|c|} \hline \multicolumn{1}{|c|}{ BUSINESS SOLUTIONS } \\ \hline Balance Sheot \\ \hline December 31, 2021 \\ \hline Assets \\ \hline Current assets \\ \hline & \\ \hline & \\ \hline & \\ \hline & \\ \hline Plant assets \\ \hline & \\ \hline & \\ \hline & \\ \hline & \\ \hline & \\ \hline & \\ \hline & \\ \hline \end{tabular} Prev 1 of 4 Next > Journal entry worksheet Record the entry to close the revenue account(s). Note: Enter debits before credits