Trelawney Technology a merchandiser for an exquisite brand of fine wines provided the following trail balance as of May 30^th 2015:

	DR	CR
Cash	1,500,000
Accounts receivable	650,000
Merchandise Inventory	225,000
Supplies	120,000
Prepaid insurance	75,000
Building	8,000,000
Accumulated depreciation-building		1,200,000
Furniture and fixtures	2,200,000
Accumulated depreciation-furniture& fix.		330,000
Accounts payable		290,000
Note payable-long term		121,100
James Lowe, Capital		10,000,000
James Lowe, withdrawals	1,200,000
Sales revenue		6,200,900
Cost of goods sold	2,800,000
Salary expense	910,000
Telephone expense	90,000
Utilities expense	330,000
Interest expense	42,000	____
	18,142,000	18,142,000

The following additional information is available at May 30^th, 2015:

Supplies on hand at May 30^th, 2015 amounted to $65,400.

Insurance of $75,000 was paid on April 1^st, 2015 for three (3) months to June 30^th, 2015.

The Building was purchased on February 1^st, 2014 and is being depreciated over ten (10) years on the double declining method of deprecation down to a residue of $90,000. (Round off answer to the nearest dollar)

The furniture and fixture have an estimated useful life of six (6) years and are being depreciated on the straight-line method down to a residue of $10,000.

Salaries earned by employees not yet paid amounted to $135,000 at May 30^th, 2015

Accrued interest expense due on the notes payable at May 30^th amounted to $18,500

A physical count of inventory at May 30^th, 2015, reveals $125,000 worth of inventory on hand.

The ageing of the accounts receivable indicated that the estimated allowance for uncollectible accounts is $65,000.

Requirements:

Prepare the necessary adjusting journal entries on May 30^th, 2015

Prepare the multi-step income statement for the year ended May 30^th, 2015

Prepare the owners equity statement for the year ended May 30^th, 2015

Prepare the balance sheet for the year ended May 30^th, 2015