The accounting records for Shelby & Sammy Pet Boarders, Inc., contained the following balances as of January 1, 2011:

The following accounting events apply to Shelby & Sammy Pet Boarders, Inc.’s 2011 fiscal year:
January 1 The company acquired an additional $20,000 cash from the owners by issuing
common stock.
1 Pet Boarders purchased a computer that cost $15,000 for cash. The computer had no salvage value and a three-year useful life.
March 1 The company borrowed $10,000 by issuing a one-year note at 12%.
May 1 The company paid $2,400 cash in advance for a one-year lease for office space.
June 1 The company made a $5,000 cash distribution to the shareholders.
July 1 The company purchased land that cost $10,000 cash.
August 1 Cash payments on accounts payable amounted to $6,000.
1 Pet Boarders received $9,600 cash in advance for 12 months of service to be performed monthly for the next year, beginning on receipt of payment.
September 1 Pet Boarders sold land for $13,000 cash. The land originally cost $13,000.
October 1 Pet Boarders purchased $1,300 of supplies on account.
November 1 Pet Boarders purchased a one-year, $20,000 certificate of deposit at 6%.
December 31 The company earned service revenue on account during the year that amounted to $40,000.
31 Cash collections from accounts receivable amounted to $44,000.
31 The company incurred other operating expenses on account during the year of $6,000.
31 Salaries that had been earned by the sales staff but not yet paid amounted to $2,300.
31 Supplies worth $200 were on hand at the end of the period.
31 Based on the preceding transaction data, there are five additional adjustments that need to be made before the financial statements can be prepared.

Requirement
Post the journal entries directly to T-accounts, make the appropriate adjustments, prepare an adjusted trial balance, and prepare the financial statements (all four) for 2011. Then prepare the closing entries and the postclosing trialbalance.

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Assets Liabilities and Shareholders' Equity 40,000 Accounts payable 16,500 Common stock Cash Accounts receivable Land Totals $17,000 45,000 14,500 76,500 20,000 Retained earnings $76.500