There the following transactions wrcm are 100,000 shares of common stock outstanding During December, the last month of the fiscal year Dec.1 R eceived $3,000 in advance payment for December, January, and February rent of warehouse 3 Purchased $24,500 of merchandise on account, FOB shipping point, terms 2/10,n/30 4 Paid transportation costs of $475 on the December 3 purchase 7 Returned $4,000 of the merchandise purchased on December 3 SO 11 Sold merchandise on a ccount, $12,700, FOB destination, 2/15,n/30. The cost of the merchandise sold was $7 600 2 Paid transportation charges of $300 for the merchandise sold on December1 13 Paid for the purchase of December 3 less the return and the discount 15 Received payment from custom 22 Received payment on account for the sale of December 11. less the discount. A ers on account $8,430. Amount received is net of discount. Purchased supplies on account, n/30 $500.Scre 27 Paid sales salaries, $2,300, and office salaries, $1,400 28 Sold merchandise for cash $16,500, The cost of the merchandise sold was $11200 Cash 30 Paid rent on parking lot for December $1,000 31 Paid cash for a web page advertisement, $400 Adu Sa lo INSTRUCTIONS: ROUND ALL AMOUNTS TO THE NEAREST DOLLAR, AS NECESSARY . Enter the balances of each of the accounts as of November 30 in the appropriate balance column of a T account (use account names and numbers) or a four-column account. [You are creating the General Ledger.] Journalize (using the General Journal) the transactions for December Post the December journal entries to the General Ledger, computing the year-end balances after all posting is completed. Prepare an Unadjusted Trial Balance as of December 31. [Note: You may use an optional end-of- period worksheet if you choose to.] Analyze the following adjustment data assembled at the end of December. Use the adjustment data to journalize, then post, the necessary adjusting entries 2. 3. 5. a Merchandise inventory on hand at December 31 per physical count, $301.500 b | Allowance for bad debts must be increased to 3% c. Insurance coverage expired during the year, $12,350 of year end accounts receivable e. Additional depreciation to be recorded on the equipment for the year, $14.130 f. Accrued sales salaries $1,800 and accrued office salanes $890 on December 31 9 Accrued interest on the note payable as of December 31, $240 h. Record rent revenue earned as of December 31 from the advance payment received on December 1 (as described ab Estimated a of additional expected returned invent returns expected to be 08% of year-end sales revenue and cost ory is expected to be $27,000, 70% of additional i. dditional customer returns are estimated to be from sales on account 30% of additional expected j. | Income taxes must be recorded at 30% or income before income tanes 30% tax rate applies K. Record unrealized loss on available for sale securities of $2150. (This entry debits AOc returns are estimated to be from cash sales. (For help see page 360 in your text ) on all tax-related items ($1505) and Deferred tax asset ($645) and credits the Investment account ($2150,) Prepare an Adjusted Trial Balance as of December 31 Prepare a multiple-step Income Statement, a Statement of Comprehensive Income, a Statement of Shareholders' Equity, and a classified Balance Sheet at the end of the December 31 fiscal year 6. 7. 8. Journalize and post the necessary closing entries 9. Prepare a Post-Closing Trial Balance as of December 31