The general ledger of the Karlin Company, a consulting company, at January 1, 2016, contained the following account balances:

1.Prepare the summary, adjusting and closing entries for each of the transactions listed.

2.Prepare an income statement for 2016.

3.

The general ledger of the Karlin Company, a consultIng company, at January 1, 2016, contalned the following account balances: Account Title Debits Credits Cash 30,000 Accounts recelvable 15,000 Equipment 20,000 Accumulated depreclatlon 6,000 Salaries payable 9,000 Common stock 40,500 Retained earnings 9,500 Total 65.000 65.000 The following is a summary of the transactions for the year: a. Sales of services, $100,000, of which $30,000 was on credit. b. Collected on accounts recelvable, $27,300. c. ssued shares of common stock In exchange for $10,000 In cash d. Pald salarles, $50,000 (of whlch $9,000 was for salarles payable). e. Pald mlscellaneous expenses, $24,000. f Purchased equlpment for $15,000 In cash. g. Pald $2,500 In cash dividends to shareholders. 1. Accrued salarles at year-end amounted to $1,000 2. Depreciation for the year on the equipment Is $2,000