Question

• Record February transactions in the General Journal and post to the General Ledger.
• Record adjusting entries for February in the General Journal and post to the General Ledger.
• Prepare the adjusted trial balance as of February 28
• Prepare the following February financial statements:
  • a) Income Statement for month ended February 28
  • b) Statement of Stockholders Equity for month ended February 28
  • c) Balance Sheet as of February 28
  • d) Statement of Cash Flows for month ended February 28
• Record February closing transactions in the General Journal and post to the General Ledger.
• Prepare a post-closing trial balance as of February 28

February Transactions
1-Feb	Paid six months of rent in advance, $6,000.
4-Feb	Paid wages and salaries for $2,335, part of which was accrued in January.
7-Feb	Purchased supplies on account, $930
11-Feb	Performed car repair services on account, $3,910.
17-Feb	Collected cash from credit sales made in January and February, $4,200.
20-Feb	Made a monthly payment on the equipment note, $80.
23-Feb	Performed car repair services and received cash at the time of sale, $4,390.
25-Feb	Accrued for the bonus earned by the shop manager that will be paid in April, $950.
February Adjusting Entries
28-Feb	The estimated depreciation on building and equipment is $700.
28-Feb	One month of rent has expired, $1,000.
28-Feb	The annual interest rate is 4% on all notes and paid quarterly. Round to nearest dollar.
28-Feb	The supplies remaining at the end of the month was $750.
28-Feb	Accrued wages and salaries worked in February that will be paid 3-4, $1,900.
28-Feb	The estimated income taxes for the month is $815.

Answer 1