UPLOAD ANSWER (EXCEL PREFERRED) BEFORE TIME EXPIRES! Given post closing trial balance at 12/31/19 DR/ (CR) Cash 75,000 Accounts receivable 200,000 Inventory 175,000 Prepaid expenses 10,000 Fixed assets 525,000 Accumulated depreciation (400,000) Accounts payable (95,000) Unearned revenue (10,000) Accrued payroll - Debt (360,000) Matures $10,000/ month Common stock (5,000) Retained earnings (115,000) Revenues - Cost of goods sold - Salaries expense - Advertising expense - Interest expense - Consultant expense - Rent expense - Depreciation expense - - USE ONLY THE ABOVE ACCOUNT TITLES! JANUARY 2020 ACTIVITY (1) Received $25,000 from customers for services to be provided later (2) Purchased $40,000 of inventory on account (3) Sold goods for $150,000 on credit which cost $80,000 (4) Debt payment $26,000 ($16,000 for interest and $10,000 for principal) (5) Collected $145,000 from accounts receivable (6) 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 (b) 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 iii. 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?