1. The controller prepared the following pre-closing trial balance. Credit Debit 112,000 27,000 24,000 3,300 38,000 3,200 288,000 42,000 700,000 LMN LLC Trial Balance 12/31/20 Cash Accounts Receivable Prepaid Rent Inventory Office Equipment Accumulated Depreciation - Office Equipment Building Accumulated Depreciation - Building Land Accounts Payable Salaries Payable Interest Payable Note Payable - due 12/31/23 Common Stock Retained Earnings Dividends Sales Cost of goods sold Salaries Expense Rent Expense Depreciation Expense - Equipment Depreciation Expense - Building 25,800 14,500 2,500 72,000 200,000 710,000 200,500 430,800 60,000 30,000 10,200 800 7,000 1,500,800 1,500,800 Using the attached T-account template (or a spreadsheet with the same level of account level detail) document each account, taking care to place the account under the proper balance sheet classification. Be sure to label the balances B for balances. Then prepare the closing entries, using an "income summary" account. 2. PQR Distributors applies the perpetual inventory system and the gross method of recording invoices. During the month of May the following transactions occurred May 1 Purchased merchandise from RST Inc. for $12,700 under credit terms of 2/15, 1/45, FOB destination, and invoice dated May 1. May 3 Sold merchandise to DFE Corp. for $8,000 under credit terms of 1/10, n/30. FOB destination, invoice date May 3. The merchandise had cost $5,000. May 5 Paid $350 cash for shipping charges related to the May 3 sale. May 6 Returned $2,000 of the merchandise purchased on May 1 to RST Inc.. May 7 DFE Corp. returned merchandise from the May 3 sale that had cost PQR $625 and had been sold for $1,000. The merchandise was restored to inventory. May 13 Received the balance due from DFE Corp. less the return. May 14 Paid the amount due RST Inc.. Using the attached T-account template (or a spreadsheet with the same level of account level detail) prepare the entries to recognize the transactions listed above. Label the entries with the date of the transaction