The general ledger of the Karlin Company, a consulting company, at January 1, 2018, contained the following account balances Account Title Debits Credits Cash 32,300 Accounts receivable 12,000 Equipment 19,000 Accumulated depreciation 5,700 Salaries payable 7,000 Common stock 43,000 Retained earnings 7,600 Total 63,300 63,300 The following is a summary of the transactions for the year Sales of services, $110,000, of which $33,000 was on credit Collected on accounts receivable, $23,200 Issued shares of common stock in exchange for $9,500 in cash Paid salaries, $40,000 (of which $7,000 was for salaries payable) Paid miscellaneous expenses, $21,600 Purchased equipment for $12,000 in cash Paid $2,625 in cash dividends to shareholders Accrued salaries at year end amounted to $800 Depreciation for the year on the equipment is $1,900 Required 2 , 5, 8 Prepare the summary, adjusting and closing entries for each of the transactions listed 3 Post the transactions, adjusting and closing entries into the appropriate t accounts 4 Prepare an unadjusted trial balance 6 Prepare an adjusted trial balance 7 a Prepare an income statement for 2018 7 b Prepare a balance sheet as of December 31, 2018 9 Prepare a post closing trial balance

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Posted on Sep 15, 2024

The general ledger of the Karlin Company, a consulting company, at January 1, 2018, contained the following account balances: Account Title Debits Credits Cash 32,300

The general ledger of the Karlin Company, a consulting company, at January 1, 2018, contained the following account balances:

Account Title	Debits	Credits
Cash	32,300
Accounts receivable	12,000
Equipment	19,000
Accumulated depreciation		5,700
Salaries payable		7,000
Common stock		43,000
Retained earnings		7,600
Total	63,300	63,300

The following is a summary of the transactions for the year:

Sales of services, $110,000, of which $33,000 was on credit.
Collected on accounts receivable, $23,200.
Issued shares of common stock in exchange for $9,500 in cash.
Paid salaries, $40,000 (of which $7,000 was for salaries payable).
Paid miscellaneous expenses, $21,600.
Purchased equipment for $12,000 in cash.
Paid $2,625 in cash dividends to shareholders.

Accrued salaries at year-end amounted to $800.
Depreciation for the year on the equipment is $1,900.

Required:

2., 5, & 8. Prepare the summary, adjusting and closing entries for each of the transactions listed. 3. Post the transactions, adjusting and closing entries into the appropriate t-accounts. 4. Prepare an unadjusted trial balance. 6. Prepare an adjusted trial balance. 7-a. Prepare an income statement for 2018. 7-b. Prepare a balance sheet as of December 31, 2018. 9. Prepare a post-closing trial balance.