The following transactions occurred during January a. Received $2420 cash on 11 from customers on account for recording services completed in December bWrote checks on 1/2 totaling $4,370 for amounts owed on account at the end of December c Purchased and received supplies on account on 13, at a total cost of $200. d. Completed $3,900 of recording sessions on 1/4 that customers had paid for in advance In December e Received $4750 cash on 1/5 from customers for recording sessions started and completed in January Wrote a check on 1/6 for $4,000 for an amount owed on account g Converted $1,010 of cash equivalents into cash on 17. h On 175. completed EFTs for $1.400 for employees salaries and wages for the first half of January Received $2.940 cash on 1/31 from customers for recording sessions to start in February f Required: 1. Prepare journal entries for the January transactions. Review the 'General Ledger and the unadjusted Trial Balance Tabs to see the effect of the transactions on the account balances 2. Prepare journal entries for Items U-in) from the bank reconciliation The bank deducted $470 for an NSF check from a customer deposited on January 5. k. The check written January 6 has not cleared the bank, but the January 2 payment has cleared 1. The cash received and deposited on January 31 was not processed by the bank until February 1 m. The bank added $4 cash to the account for Interest earned in January n. The bank deducted $4 for service charges. 3. Prepare adjusting Journal entries on 1/31 in General Journal Tab. (these are shown as items 15 to 21). o Depreciation for the month is $240. p. Salaries and wages totaling $1,500 have not yet been recorded for January 16 to 31. a. Prepaid Rent will be fully used up by March 31, 1. Supplies on hand at January 31 were $ 200, s. Received $200 Invoice for January electricity charged on account to be paid in February but is not yet recorded. t Interest on the promissory note of $28 for January has not yet been recorded or paid u. Income tax of $1.700 on January income has not yet been recorded or pald. 4. Review the adjusted Trial Balance as of January 31 5. Prepare an income statement for the period ended January 31 in the "Income Statement Tab 6. Prepare a bank reconciliation in the Bank Reconciliation Tab 7. Prepare a classified balance sheet as of January 31 in the Balance Sheet Tab 8. Using the Information from the requirements above, complete the Analyste tab Requent General Journal General Ledger Tal Balance Income Statement Bank Recondition Balance sheet Analyse Analysis Balance Sheet General Journal General Ledger Trial Balance Income Statement Bank Reconditation Requirement Prepare the journal entries to record transactions (a) through (n). Then prepare the necessary adjusting entries (0) through (U) to correctly report net income for the period. (If no entry is required for a transaction/event, select "No journal entry required in the first account field.) View transactions X 21 1 Received $2,420 cash on 1/1 from customers on account for recording services completed in December. Record the transaction. services 2 Wrote checks on 1/2 totaling $4,370 for amounts owed on account at the end of December. Record the transaction Credit 1 Purchased and received supplies on account on 1/3, at a total cost of $200. Record the transaction. 4 Completed $3,900 of recording sessions on 1/4 that customers had paid for in advance in December. Record the transaction PER Note 1 - joumal entry has been entered Record entry Clear entry View general journal EX eBook 21 5 Print Received $4,750 cash on 1/5 from customers for recording sessions started and completed in January Record the transaction services Feferences 6 Wrote a check on 1/6 for $4,000 for an amount owed on account. Record the transaction Credit 7 Converted $1,010 of cash equivalents into cash on 1/7. Record the transaction. On 1/15, completed EFTs for $1,400 for employees salaries and wages for the first half of January. Record the transaction. 9 Received $2,940 cash on 1/31 from customers for PAPA in China. The Note : = journal entry has been entered Record entry Clear entry View general Journal X 9 Received $2,940 cash on 1/31 from customers for recording sessions to start in February. Record the transaction. 21 services 10 The bank deducted $470 for an NSF check from a customer deposited on January 5. Record the transaction. 11 The check written January 6 has not cleared the bank, but the January 2 payment has cleared. Record the transaction. Credit 12 The cash received and deposited on January 31 was not processed by the bank until February 1. Record the transaction 13 The bank added $4 cash to the account for interest Note := journal entry has been entered Record entry Clear entry View general Journal View transaction ist X 21 > 13 The bank added $4 cash to the account for interest earned in January. Record the transaction. g services 14 The bank deducted $4 for service charges. Record the transaction. 15 Depreciation for the month $240. Record the transaction. Credit 16 Salaries and wages totaling $1,500 have not yet been recorded for January 16-31. Record the transaction. 17 Prepaid Rent will be fully used up by March 31. Record the transaction. 18 Supplies on hand at January 31 were $200. Record the Note := journal entry has been entered Record entry Clear entry View general fournal View transaction at 21 17 Prepaid Rent will be fully used up by March 31. Record the transaction 9 Services 18 Supplies on hand at January 31 were $200. Record the transaction. 19 Received $200 invoice for January electricity charged on account to be paid in February but is not yet recorded. Record the transaction. Credit 20 Interest on the promissory note of $28 for January has not yet been recorded or paid. Record the transaction. 21 Income tax of $1,700 on January income has not yet been recorded or paid. Record the transaction. Note: - journal entry has been entered Record entry Clear entry View general Journal Each journal entry is posted automatically to the general ledger. Use the drop-down button to view the unadjusted, or adjusted balances. Unadjusted General Ledger Account Cash Debit Cash Equivalents Debit Credit No Credit No Date January 01 Balance 3,640 Date January 01 Balance 1.640 Accounts Receivable Debit Credit Supplies Debit No Credit Date January 01 Balance 0.900 Date January 01 Balance 510 Prepaid Rent Debit Credit Equipment Debit No No. Credit Date January 01 Balance 3,420 Date January 01 Balance 30 300 Accumulated Depreciation-Equipment Date Debit Credit January 01 Accounts Payable Debit Credit No Balance No. Date January 01 6,700 Balance 8,200 Deferred Revenue Notes Payable long-term Debit Credit No Debit Credit No. Date January 01 Balance 3.000 Date January Balance 12,400 Common Stock Debit Credit Retained Earnings Debit Credit No No Date January 01 Balance 10.400 Date January 01 Balance 4,810 > General General Income Requirement Bank Trial Balance Analysis Balance Sheet Journal Ledger Statement Recondilation Notice the dropdown below that gives the options to select the unadjusted, or adjusted trial balance. The option you choose will be the values used to populate the income statement and balance sheet tabs. Unadjusted Pulse Recording Studio Trial Balance January 01, 2021 Account Title Debit Credit Cash 3.840 Cash Equivalents 1,840 Accounts Receivable 0.000 Supplies 510 Prepaid Rent 3.420 Equipment 30.300 Accumulated Depreciation-Equipment 6,700 Accounts Payable 8.200 Deferred Revenue 3.900 Notes Payable (long-term) 12.400 Common Stock 10,400 Retained Earnings 4.810 Total S 48.41019 46,410 General General Requirement Income Thal Balance Bank Balance Sheet Journal Ledger Statement Analysis Recondition Choose the appropriate accounts to be reported on the income statement. Select the 'adjusted from the dropdown, which will then populate the balances in those accounts from the trial balance. Unadjusted Pulse Recording Studio Income Statement For the Month Ended January 31 4. Review the adjusted Trial Balance as of January 31 5. Prepare an income statement for the period ended January 31 in the income Statement Tab 6. Prepare a bank reconciliation in the 'Bank Reconciliation' Tab. 7. Prepare a classified balance sheet as of January 31 in the Balance Sheetheb. 8. Using the Information from the requirements above, complete the Analysis tab. Requirement General Journal General Ledger Trial Balance Income Statement Bank Balance Sheet Recondition Analysis Use the January 31 balance in Cash from General Ledger tab and the information 6)-(n) to prepare a bank recondition. PRS's bank reported January 31 balance of $5.580. Unadjusted Pulse Recording Studio Bank Reconciliation At January 31 Company's Books S 5,580 Ending balance per Cash account Additions Bank Statement Ending balance per bank statement Additions: 3 4.000 Deductions Deductions: Up-to-date cash balance Up-to-date cash balance appear for each account, based on your selection Unadjusted Pulse Recording Studio Balance Sheet At January 31 Equipment, net Liabilities and Stockholders' Equity J. The bank deducted $470 for an NSF check from a customer deposited on January 5. k The check written January 6 has not cleared the bank, but the January 2 payment has cleared. L The cash received and deposited on January 31 was not processed by the bank until February 1 m. The bank added $4 cash to the account for interest eamed in January n. The bank deducted $4 for service charges. 3. Prepare adjusting Journal entries on 131 in 'General Journal Tab. (these are shown as Items 15 to 21). o. Depreciation for the month is $240 p. Salaries and wages totaling $1.500 have not yet been recorded for January 16 to 31 9. Prepaid Rent will be fully used up by March 31. Supplies on hand at January 31 were $200. s. Received $200 invoice for January electricity charged on account to be paid in February but is not yet recorded. t. Interest on the promissory note of $28 for January has not yet been recorded or pald. u. Income tax of $1700 on January income has not yet been recorded or paid. 4. Review the adjusted Trial Balance as of January 31 5. Prepare an Income statement for the period ended January 31 in the income Statement Tab. 6. Prepare a bank reconciliation in the "Bank Reconciliation Tab. 7. Prepare a classified balance sheet as of January 31 in the Balance Sheet Tab. 8. Using the information from the requirements above, complete the 'Analysis tab. Requirement General Journal General Ledger Trial Balance Income Statement Bank Recondition Balance Sheet Analysis Using the information from the requirements above, complete the 'Analysis' tab. Calculate the current ratio at January 31 (Round your answn to 2 decinal places) Current Ratio indicate whether FRS has metits loan covenant that requires a minimum current ratio of 12 Calculate the net profit marginat January 31 Round your answer to 2 decimal places Net Profit Margin 15 Indicate whether PRS has achieved its objective of 10 percent