Sylvia Sweet opened Sweet Angels, Inc. on June 1, 2020. During June, the following transactions were completed:

June 1	Issued 5,000 shares of Cleaning Angels common stock for $13,000. Each share has a $1.00 par.
2	Borrowed $7,500 on a 2-year, 8% note payable.
2	Paid $9,000 to purchase used floor and window cleaning equipment from a company going out of business ($4,820 was for the floor equipment and $4,180 for the window equipment).
2	Paid $250 for June for Internet and phone service.
3	Purchased cleaning supplies for $980 on account.
4	Hired 4 employees. Each will be paid $450 per 5-day work week (Monday-Friday). Employees will begin working on Monday, June 8th.
4	Discussions with the insurance agent indicated that providing outside window cleaning services would cost too much to insure. Sylvia sold the window cleaning equipment for $4,000 cash.
4	Obtained insurance coverage for $9,840 per year. Coverage runs from June 4, 2020, through June 04, 2021. Sylvia paid $2,460 cash for the first quarter of coverage.
8	Paid $2.80 per share to buy 300 shares of Cleaning Angels, Inc common stock from a shareholder who disagreed with management goals. The shares will be held as treasury stock.
12	Paid $300 on amount owed on cleaning supplies.
15	Paid for employees wages for the week of June 8-12.
15	Billed customers $3,600 for cleaning services performed through June 12, 2020.
17	Received $600 from a customer for 4 weeks of cleaning services to begin on June 22, 2020.
22	Billed customers $4,300 for cleaning services performed through June 19.
22	Paid employees wages for the week of June 15-19
23	Collected $2,400 cash from customers billed on June 15.
25	Paid $250 for Internet and phone services for July.
29	Declared and paid a cash dividend of $0.08 per share.
29	Collected $3,100 from customers billed on June 15 & 22.
29	Billed customers $3,900 for cleaning services performed through June 26th
29	Paid employees wages for the week of June 22-26
30	Received notice that a customer who was billed $150 for services performed June 10th has filed for bankruptcy. Sweet Angels, Inc does not expect to collect any portion of this outstanding receivable. (Sweet Angels will follow the GAAP Guidelines for uncollectible accounts.)

Adjustment Data:

A. Services performed for customers through June 30, 2020, but unbilled and uncollected were $1,500.

B. Cleaning Angels used the allowance method to estimate bad debts. Cleaning Angels estimates that 3% of its month-end receivables will not be collected.

C. Record 1 month of depreciation for the floor equipment. Use the straight-line method, an estimated life of 5 years, and $400 salvage value.

D. Record 1 month of insurance expense.

E. An inventory count shows $350 of supplies on hand at June 30th.

F. Record services performed for the customer who paid in advance on June 17th.

G, Accrue for wages owed through June 30, 2020.

H. Accrue for interest expense for one month.

I. Sylvia estimates a 20% income tax rate. (Hint: Prepare an income statement up to income before taxes to help with the income tax calculation.)

Instructions:

1. Journalize the June transactions.
2. Post to ledger accounts.
3. Prepare a Trial Balance as of June 30, 2020.
4. Journalize the adjusting entries. (Round all amounts to whole dollars.)
5. Post the adjusting entries to the ledger accounts.
6. Prepare an Adjusted Trial Balance as of June 30, 2020.
7. Journalize the closing entries.
8. Post the Closing Entries to the ledger accounts.
9. Prepare a Post-Closing Trial Balance on June 30, 2020