Voltaire Enterprises SA's statement of financial position at December 31, 2016, is presented below.

During 2017, the following transactions occurred.
1. On January 1, 2017, Voltaire issued 1,500 €20 par, 6% preference shares for €33,000.
2. On January 1, 2017, Voltaire also issued 900 €1 par value ordinary shares for €6,300.
3. Voltaire performed services for €276,000 on account.
4. On April 1, 2017, Voltaire collected fees of €36,000 in advance for services to be performed from April 1, 2017, to March 31, 2018.
5. Voltaire collected €267,000 from customers on account.
6. Voltaire bought €26,100 of supplies on account.
7. Voltaire paid €32,200 on accounts payable.
8. Voltaire reacquired 400 ordinary shares on June 1, 2017, for €8 per share.
9. Paid other operating expenses of €188,200.
10. On December 31, 2017, Voltaire declared the annual preference share dividend and a €0.50 per share dividend on the outstanding ordinary shares, all payable on January 15, 2018.
11. An account receivable of €1,300 which originated in 2016 is written off as uncollectible.
Adjustment data:
1. A count of supplies indicates that €5,900 of supplies remain unused at year-end.
2. Recorded revenue recognized from item 4 above.
3. The allowance for doubtful accounts should have a balance of €3,500 at year-end.
4. Depreciation is recorded on the building on a straight-line basis based on a 30-year life and a residual value of €10,000.
5. The income tax rate is 30%.
Instructions
(You may want to set up T-accounts to determine ending balances.)
(a) Prepare journal entries for the transactions listed above and adjusting entries.
(b) Prepare an adjusted trial balance at December 31, 2017.
(c) Prepare an income statement and a retained earnings statement for the year ending December 31, 2017, and a classified statement of financial position as of December 31, 2017.

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VOLTAIRE ENTERPRISES SA Statement of Financial Position December 31, 2016 Land Buildings Accumulated depreciation-buildings Supplies Accounts receivable Allowance for doubtful 40,000 Share capital-ordinary 130,000 (20,000) (1 par) Retained earnings 50,000 147,400 25,600 223,000 ,400 Accounts payable 45,500 (1,500) 24,600 223,000 accounts Cash