Stackhouse, Connelly, and Teagarden Enterprises (SCT Enterprises) was formed in December 2014. During the first month of operation, the following transactions occurred:

Dec 1 Issued common stock in exchange for $1,000,000 cash.

2 Purchased inventory on account for $80,000 (the perpetual inventory system is used).

3 Purchased $300,000 in equipment for cash.

4 Paid the companys landlord $12,000 for rent for twelve months, debiting Prepaid Rent Expense.

10 Sold merchandise on account for $120,000. The cost of the merchandise was $75,000.

15 Borrowed $50,000 from a local bank and signed a note. Principal and interest of 10% to be repaid in one year.

20 Paid employees $15,000 wages for the first half of the month.

24 Paid $50,000 to suppliers for the merchandise purchased on December 2.

26 Collected $60,000 on account from customers.

28 Paid various utility bills of $1,500 for the month of December.

31 Paid $8,000 in insurance for the period January 1, 2015 to March 1, 2015.

31 Received payment of $5,000 for an order to be delivered January 20. The cost of the merchandise for the order will be $3,500.

Required (round all computations to the nearest whole dollar):

Prepare entries to record the above transactions.

Prepare an unadjusted trial balance.

Prepare adjusting entries for December, considering: Depreciation on the equipment is $36,000 per year. Rent expense for the month. Interest expense for the month. Wages for the second half of the month; assume employees earned wages evenly throughout the month.

Prepare an adjusted trial balance.

Prepare the four basic financial statements for the year ending December 31, 2014.

Prepare closing entries.

Prepare a post closing trial balance.