The general ledger of the Karlin Company, a consulting company, at January 1, 2022, contained the following account balances:

Account Title	Debit	Credit
Cash	30,000
Accounts receivable	15,000
Allowance for doubtful accounts		2,000
Supplies	2,000
Equipment	20,000
Accumulated depreciation		6,000
Unearned revenue		9,000
Karlin, Capital		50,000
Total	67,000	67,000

The following transactions took place during the month of January:

1/1 Karlin provided services to a client for $70,000 and collected cash

1/5 Karlin invested an additional $10,000 of cash in the business

1/10 Paid salaries of $10,000

1/15 Karlin provided services to a client for $30,000 on credit

1/18 Collected a customer accounts receivable of $10,000

1/20 Paid the utility bill of $1,000

1/22 Purchased a building paying $5,000 in cash and signing a notes payable for the $10,000

1/24 Paid rent of $5,000

1/28 Karlin withdrew $2,500

1/30 Purchased $1,500 of Supplies

REQUIRMENTS

1. Set up the necessary T-accounts and enter the beginning balances from the trial balance
2. Prepare a general entry for each of the transactions
3. Post the journal entries to the accounts
4. Prepare an unadjusted trial balance
5. Prepare and post the following adjusting journal entries:
   1. Accrued salaries at year-end amount to $2,000
   2. Equipment is being depreciated using straight -line. Salvage value is $2,000 and the useful live is 60 months.
   3. A count of supplies at month end revealed $2,000 of supplies on hand
   4. One half of the unearned revenue had been earned during the month
   5. Karlin uses the % of receivable method to estimate bad debt expense. Karlin estimates that 4% of the year end accounts receivable will not be collected
6. Prepare an adjusted trial balance
7. Prepare an income statement, statement of owners equity and balance sheet for January 31, 2022.
8. Prepare and post closing entries
9. Prepare a post-closing trial balance