The following transactions took place during 2016 for Palicio Security Service 1. Paid the salaries payable from 2015. 2. On March 1, 2016, Palicio established a $100 petty cash fund to handles expenditures. 3. Paid $4,800 on May 1, 2016, for one year's lease on the company van in advance. 4. Paid $7,200 on May 2, 2016 for one year's office rent in advance. 5. Purchased $400 of supplies on account. 6. Purchased 100 alarm systems for $28,000 cash during the year. 7. Sold 102 alarm systems for $57,120. All sales were on account. (Compute cost of goods sold using the FIFO cost flow method) 8. Paid $2,100 on accounts payable during the year. 9. Replenished the petty cash fund on August 1. At this time, the petty cash had only $7 of currency left. It contained the following receipts: office supply expense $23, cutting grass $55, and miscellaneous $14. 10. Billed $52,000 of monitoring services for the year. 11. Paid installers and other employees a total of $25,000 cash for salaries 12. Collected $89,300 of accounts receivable during the year. 13. Paid $3,600 of advertising expense during the year. 14. Paid $2,500 of utilities expense for the year. 15. Paid a dividend of $10,000 to the shareholders. HINTS: First record the Journal entries for each transaction listed above and then record the transactions on the Trial Balance worksheet. ALSO, set up an Excel Spreadsheet like the Trial Balance sheet shown on next page and use to record adjusting entries. INSTRUCTIONS: A Prepare and record the Adjusting Journal Entries B. Complete the trial balance worksheet LISTED on the PRIOR page for the month ended December 31, 200x for Palicio Security Service Company based on the transactions RECORDED IN THE JOURNAL ENTRIES LISTED ABOVE: c. Prepare the trial balance as at Dec 31, 2016 for Palicio Security Services D. Prepare the income statement for Palicio Security Services as of Dec 31, 2016 E. Prepare statement of changes in equity for Palicio Security Services as of Dec 31, 2016 E Prepare the balance sheet for Palicio Security Services Inc. as of Dec 31, 2016 The trial balance of Palicio Security Services Inc. as of January 1, 2016 had following normal balances: Account Trial Balance Adjustments. Adjusted Income StatementBalance Sheet DR CR DR CR DRCR DR CR 74.210 13,500 Cash Accounts Receivable 11 3.200 II 6,620 Supplies 200 Prepaid Rent Land 14.000 Merchandise Inventory 124 $265 11 @ $260) Accounts Payable 1,950 Unearned revenue 1980 Salaries Payable 1,000 Common Stock 50,000 Retained Earnings 47,800 TL Mages Expense ITotals 101.730101,730