Reference no: EM132933336

The following information relates to December 31, 2019:

1. One month of the prepaid insurance has expired.
2. The December portion of the rent paid on December 1 has expired.
3. A physical count indicates that $350 of supplies is still on hand.
4. The amount collected in transaction m is unearned at December 31.
5. Three days of wages for December 29, 30, and 31 are unpaid, amounting to $1,500. These will be paid in January.
6. The truck has an estimated useful life of 4 years.
7. Income taxes expense is $500. This amount will be paid in the next fiscal year.

Required:

Problem 1: Prepare necessary adjusting entries. General ledger account numbers and descriptions are not necessary.

Problem 2: Post the entries to general ledger T-accounts and calculate balances.

Problem 3: Prepare adjusted trial balance at December 31.

Problem 4: Assume the fiscal year-end is December 31, 2019. Prepare income statement, statement of changes in equity, and balance sheet.

Problem 5: Prepare closing entries and a post-closing trial balance at December 31, 2019