The following information is available for the month of December 2021 representing operations for The ABC Security Services, Inc.

Required:
1. Record the above transactions in the instructor-provided horizontal model template.
2. Prepare an income statement and balance sheet for the first year of operations.

Instructor Provided Horizontal Model Template

 

Transaction Description 15 Paid $3,000 to creditors Date Paid local newspaper $100 for advertisement 17 Issued 1000 shares of Common Stock for Dec. 1 cash in the amount of $12,000 20 Paid employee wages of $2,000 in cash 2 Purchased $5,000 of inventory on account Received payment of $5,500 from customer 20 B (Paid in full) Purchased Equipment for $3,100 using $1,000 of cash the balance on account 25 Purchased inventory $2000 on account Purchased used Delivery Truck for $6,100 for cash 30 Paid Fuel bill of $500 Received advanced payment of $1,800 cash 5 from customer A for services to be performed One-fourth of advance payment from 30 Customer A was earned Sold product to customer B for $5,500 on Depreciation on Equipment and Truck were 8. 30 account, inventory cost was $2.500 $35 and $125 respectively Purchased Office Supplies for $500 payment After a physical inventory was taken, the 30 in cash remaining office supplies totaled $300