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

Account TitleDebitsCreditsCash29,600Accounts receivable16,500Equipment28,000Accumulated depreciation8,400Salaries payable9,250Common stock47,500Retained earnings8,950Total74,100

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

1. Sales of services, $128,000, of which $38,400 was on credit.
2. Collected on accounts receivable, $25,900.
3. Issued shares of common stock in exchange for $14,500 in cash.
4. Paid salaries, $46,750 (of which $9,250 was for salaries payable).
5. Paid miscellaneous expenses, $25,200.
6. Purchased equipment for $17,000 in cash.
7. Paid $3,100 in cash dividends to shareholders.
8. Accrued salaries at year-end amounted to $935.
9. Depreciation for the year on the equipment is $2,800.

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.