UPLOAD ANSWER (EXCEL PREFERRED) BEFORE TIME EXPIRES! Given post closing trial balance at 12/31/19 DR/(CR) Cash 75,000 Accounts 200,000 receivable Inventory 175,000 Prepaid 10,000 expenses Fixed assets 525,000 Accumulated depreciation (400,000) Accounts (95,000) payable Unearned (10,000) revenue Accrued payroll Matures Debt $10,000/ (360,000) month Common stock (5,000) Retained earnings (115,000) Revenues Revenues Cost of goods sold Salaries expense Advertising expense Interest expense Consultant expense Rent expense Depreciation expense (1) USE ONLY THE ABOVE ACCOUNT TITLES! JANUARY 2020 ACTIVITY Received $25,000 from customers for services to be provided later Purchased $40,000 of inventory on account Sold goods for $150,000 on credit which cost $80,000 Debt payment $26,000 ($16,000 for interest and $10,000 for principal) Debt payment $26,000 ($16,000 for interest and $10,000 for principal) Collected $145,000 from accounts receivable Paid $90,000 against outstanding payables (7) Paid $7,000 for February 2020 rent (8) Paid consultants $10,000 for future services (9) Paid $2,000 for completed advertising (10) Paid salaries through 1/28/20: $25,000 INSTRUCTIONS: i. Journal entries for items 1-10 above ii. Adjusting journal entries for the following (a) Fixed assets depreciate $8,000/month Workers earned $2,500 for last two days which will be paid in February (c) Unearned revenue should be $3,000 at 1/31/20 (d) 10% of the work in (8) above completed by 1/31/20 Present a classified balance sheet and income statement as of and for the month ended 1/31/20 (b) (d) 10% of the work in (8) above completed by 1/31/20 Present a classified balance sheet and income statement as of and for the month ended 1/31/20 IV. THIS DOES NOT IMPACT ANYTHING ABOVE, BUT FOLLOWS FROM PART II (B).. What journal entry should the company report in February when they make a $25,000 payment for payroll