The attached file includes the directions and an excel template for you to use to answer the questions posed in the file. There is a list of transactions for which you must create journal entries, the t-accounts have already been created, you merely need to fill them in, and then you will complete the Financial statements.

Transactions for January of 2020 alance Sheet for end of 2019 ssets ash ccounts Receivable (net of allowance of 7200 nventory repaid Insurance upplies Total Current Assets 77,250 237,884 45,500 (1000 units at $45.50 each) 1,600 1,625 363,859 Property, Plant and Equipment, Net Land 177,500 32,000 Total Assets 573,359 1/3/1900 Paid interest payable plus $3,000 toward long term debt 1/2/2020 Paid salaries payable 1/3/2020 Purchased inventory (500 units at $46) on credit 1/4/2020 Paid shipping on inventory of $250 1/6/2020 Purchased supplies on credit for $850 1/9/2020 Received $2,500 from customers for products to deliver in March 1/10/2020 Sold 600 units on credit with a sales price of $105 (assume perpetual LIFO) 1/15/2020 Purchased inventory (700 units at $47) 1/20/2020 Paid $41,600 on accounts payable 1/21/2020 collected $121,350 in cash from customers in payment for earlier sess 1/22/2020 Wrote off accounts receivable for $815 1/25/2020 Sold 200 units on credit with a sales price of $105 (still perpetual LIFO) 1/26/2020 Paid wages to employees for work done in January $31,000 1/26/2020 Received utility bill for $7,200 for utilities used in January that will be paid in February 1/31/2020 Delivered 100 units of product to customers that they paid 10,000 for in 2019 (unearned revenue) 1/31/2020 Counted supplies and found $1,240 remaining 1/31/2020 Employees worked and earned $4,700 in January that will not be paid until February 1/31/2020 Interest at 12% per year on the long term debt (new balance) has not been paid 1/31/2020 The prepaid insurance will last 4 months into 2020 before a new policy will be required 1/31/2020 The allowance for bad debts is estimated at 4% of total accounts receivable 1/31/2020 A count o inventory showed that 50 units were damaged such that they are worthless and will be thrown away Liabilities Accounts Payable Unearned Revenue Interest Payable Salaries Payable Total Current Liabilities 94,552 45,200 2,100 6,500 148,452 2 Long Term Debt 246,100 394,552 Total Liabilities 5 6 Capital Stock -7 Retained Earnings 28 29 Total Liabilities and Stockholders Ed 100,000 78,807 573,359 Account Name Deblt Credit 1 Date 2 3 5 5 7 3 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 1 Assets Liabilities + 2 Owners Equity Retained Earnings Retained Earnings Sales 3 Cash Acct Recevable operty Plant and Equ Accounts Pay Long Term Debt Capital Stock Cost of Goods sold 1 5 6 7 8 9 Land Dividends Paid Utiltities Exp Allowance Insurance FXP 10 11 Interest Payable 12 13 Supplies 14 Trial Balance Cash Acct Receivable Allowance Supplies Inventory Prepaid insurance Property Plant and I land Amounts Pay Wages Payable Interest Payable Uneamed Rev Tong Term Debt Capital Stock Retained Farrines Dividends Palc Sales Cost of Goods Sold Utilities Exp Insurance Exp Wages Expense Interest Expense Rad Debt Fxpense Supplies Expense 15 16 inventory Interest Expense 17 Unearne Rev Wages Fxpense 18 19 Prepaid insurance 20 21 Bad Debt Fyperse 27 23 74 25 Wages Payable Supplies Fypense 77 25 Transactions for January of 2020 Balance Sheet for end of 2019 Assets 3 Cash 4 Accounts Receivable (net of allowance of 7200) 5 Inventory 6 Prepaid Insurance 7 Supplies 77,250 237,884 45,500 (1000 units at $45.50 each) 1,600 1,625 363,859 Total Current Assets 9 10 Property, plant and Equipment, Net 11 Land 177,500 32,000 12 13 Total Assets 573,359 1/3/1900 Paid interest payable plus $3,000 toward long term debt 1/2/2020 Paid salaries payable 1/3/2020 Purchased inventory (500 units at $46) on credit 1/4/2020 Paid shipping on inventory of $250 1/6/2020 Purchased supplies on credit for $850 1/9/2020 Received $2,500 from customers for products to deliver in March 1/10/2020 Sold 600 units on credit with a sales price of $105 (assume perpetual LIFO) 1/15/2020 Purchased inventory (700 units at $47) 1/20/2020 Paid $41,600 on accounts payable 1/21/2020 Collected $121,350 in cash from customers in payment for earlier sales 1/22/2020 Wrote off accounts receivable for $815 1/25/2020 Sold 200 units on credit with a sales price of $105 (still perpetual LIFO) 1/26/2020 Paid wages to employees for work done in January $31,000 1/26/2020 Received utility bill for $7,200 for utilities used in January that will be paid in February 1/31/2020 Delivered 100 units of product to customers that they paid 10,000 for in 2019 (unearned revenue) 1/31/2020 Counted supplies and found $1,240 remaining 1/31/2020 Employees worked and earned $4,700 in January that will not be paid until February 1/31/2020 Interest at 12% per year on the long term debt (new balance) has not been paid 1/31/2020 The prepaid insurance will last 4 months into 2020 before a new policy will be required 1/31/2020 The allowance for bad debts is estimated at 4% of total accounts receivable 1/31/2020 A count of inventory showed that 50 units were damaged such that they are worthless and will be thrown away 94,552 45,200 2,100 6,600 148,452 14 15 Liabilities 16 Accounts Payable 17 Unearned Revenue 18 Interest Payable 19 Salaries Payable 20 21 22 Long Term Debt 23 24 Total Liabilities 25 26 Capital Stock 27 Retained Earnings 28 29 Total Current Liabilities 246,100 394,552 100,000 78,807 Total Liabilities and Stockholders Equity 573,359 E L F G M N 0 Income Statement For January 2020 TH Balance Sheet as of January 31, 2020 Cash Acct Receivable Allowance Supplies Inventory Prepaid Insurance Property Plant and Equip Land Accounts Pay Wages Payable Interest Payable Unearned Rev Long Term Debt Capital Stock Retained Earnings Sales 4 Cost of Goods Sold 5 Gross Profit 6 Utiltities Exp ? Insurance Exp Wages Expense 9 Interest Expense 10 Bad Debt Expense 11 Supplies Expense 12 Net Income 13 14 15 Statement of Equity for January 2020 16 Capital Stock Retained Earnings 17 Beginning 18 Net Income 19 Ending 20 How many units and at what cost are in inventory to start February 21