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The general ledger of Red Storm Cleaners at January 1, 2021, includes the following account balances: Credits Debits Accounts $17,500 7,500 3,500 12,500 Cash Accounts

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The general ledger of Red Storm Cleaners at January 1, 2021, includes the following account balances: Credits Debits Accounts $17,500 7,500 3,500 12,500 Cash Accounts Receivable Supplies Equipment Accumulated Depreciation Salaries Payable Common Stock Retained Earnings $ 4,000 6,000 22,500 8,500 $41,000 $41,000 Totals The following is a summary of the transactions for the year: 12 Provide services to custoners, $55,000, of which $20,500 is on account. 2 Collect on accounts receivable, $17,500 30 Issue shares of common stock in exchange for $4,000 cash. 1 Pay salaries of $6,000 from 2020 (prior year) 1. March 2. May 3. June 4. August 5. September 25 Pay repairs and maintenance expenses, $12,500. 6. October 7. December 19 Purchase equipment for $7,500 cash. 30 Pay $1,200 cash dividends to stockholders. The following information is available for the adjusting entries. Accrued salaries at year-end amounted to $20,700. Depreciation for the year on the equipment is $4,500. Office supplies remaining on hand at the end of the year equal $1,100 Income Statement General Ledger General Journal Balance Sheet Trial Balance Requirement 1. Record each of the transactions listed above in the 'General Journal' tab (these are shown as items 1 7). Review the General Ledger and the "'Trial Balance' tabs to see the effect of the transactions on the account balances. 2. Record the adjusting entries in the 'General Journal' tab (these are shown as items 8-10). 3. Review the adjusted Trial Balance' as of December 31, 2021. 4. Prepare an income statement for the period ended December 31, 2021, in the 'Income Statement' tab. 5. Prepare a classified balance sheet as of December 31, 2021 in the 'Balance Sheet' tab. 6. Record the closing entries in the 'General Journal' tab (these are shown as items 11-13). Genaral Journal wjoureniay workanitir 34,500 Cash March 12 20,500 Accounts Recelvable 55,000 Service Revenue 17,500 Cash 2 May 02 17,500 Accounts Receivable 4,000 3 Cash June 30 4,000 Common Stock 6,000 Salaries Payable August 01 4 6,000 Cash 12,500 September 25 Repairs and Maintenance Expense 5 12,500 Cash 7,500 Equipment Cash October 19 6 7,500 1,200 December 30 Dividends 7 1,200 Cash Salaries Expense 8 December 31 Salaries Payable 4,500 Depreciation Expense 9 December 31 4,500 Accumulated Dopreciation 10 2,400 December 31 Supplies Expense 2,400 Supplies Service Revenue 55,000 December 31 11 55,000 Retained Earmings December 31 Retained Eamings 17,000 12 12,500 Repairs and Maintenance Expense Salaries Expense Depreciation Expense 4,500 Reta ned Earnings 1,200 13 December 31 Div dands 1.200 Requirement Genel Ledger General Journal General Income Trial Balance Requirement Balance Sheet Ledger Statement Prepare the journal entries for transactions. (If no entry is required for a transaction/event, select account field.) View transaction list Journal entry worksheet 2 3 13 5 6 7 8 Record the adjusting entry for salaries. Note: Enter debits before credits. Date General Journal Debit Credit December 31Salaries Expense Salaries Payable 5 6 13 Record the adjusting entry for depreciation. Note: Enter debits before credits. Date General Journal Debit Credit December 31 Depreciation Expense 4,500 Accumulated Depreciation 4,500 10 13 Record the adjusting entry for supplies remaining on hand at the end of the year equal to $1,100. Note: Enter debits before credits. Date General Journal Debit Credit December 31 Supplies Expense 2.400 Supplies 2,400 13 10 11 6 7 1 Record the closing entry for revenue. Note: Enter debits before credits. Date General Journal Debit Credit Service Revenue December 31 55,000 Retained Earnings 55,000 10 12 8 6 Record the closing entry for expenses. Note: Enter debits before credits Credit Debit Date General Journal 17,000 December 31 Retained Earnings 12.500 Repairs and Maintenance Expense Salaries Expense 4.500 Depreciation Expense 13 11 10 12 6 7 8 1 Record the closing entry for cash dividends. Note: Enter debits before credits. Debit Credit General Journal Date 1,200 December 31Retained Earnings 1,200 Dividends General Joumal General Income Statement Requirement Trial Balance Balance Sheet Ledger Esch joumal entry is posted automatically to the general ledger. The unadjusted, adjusted, or post-closing balances will appear for each account, based on your selection. Adjusted Goneral Ladgar Account Unadjusted Adjusted Cash Accounts Recolvable Post-closing Debit Credit Balance Date Debit Balance No. Credit January 01 17,500 January 01 7,500 March 12 34,500 52,000 20,500 1 March 12 28,000 2 May 02 17,500 69,500 May 02 17,500 10,500 4,000 3 June 30 73,500 August 01 4 6,000 67,500 5 September 25 12,500 55.000 6 October 19 7,500 47,500 7 December 30 1,200 46,300 Equipment Supplies Date Credit Balance Date Debit Credit Balance No. Debit No. 12.500 January 01 3.500 January 01 7,500 10 Docember 31 6 October 19 20,000 2,400 1,100 Salaries Payable Accumulated Depreciation Credit Date Balance Balance No. Debit Credit Date Debit No. 4,000 January 01 6,000 January 01 8.500 6.000 9 December 31 4,500 August 01 Retained Earnings Common Stock Debit Balance Balance No. Date Credit Date Debit Credit No. January 01 8,500 22,500 January 01 4.000 26,500 3 June 30 Service Revenue Dividends No. Balance Date Debit Credit Debit Credit Balance Date No. 0 January 01 7 January 01 55,000 55,000 March 12 1,200 Decamber 30 1,200 Supplies Expense Depreciation Expense Credit Balance Balance Debit No. Date Date Debit Credit No. 0 January 01 January 01 10 December 31 2400 2.400 4,500 4,500 9 Decembur 31 Repairs and Maintenance Expense Credit Balance Debit No. Date January 01 12.500 12 500 5 September 25 General Income Statenent General Journal Trial Balance Balance Sheet Requirement Ledger The ending balance values from the General Ledger tab flows through to the Trial Balance below. The unadjusted, adjusted, or post-closing balances wll appear for each account, based on your selection. Adjusted Red Storm Cleaners Unadjusted Trial Balance Adjusted December 31, 2021 Post-closing Account Title Debit Credit 46,300 casn Accounts Receivable 10,500 Supplies Equipment 1,100 20,000 Accumulated Depreciation 8,500 Common Stock 26,500 Retained Eamings 8,500 Dividends 1,200 Service Revenue 55,000 Depreciation Expense Supplies Expense 4,500 2,400 12,500 98 500 S Repairs and Maintenance Expense Total 98,500

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