ASSIGNMENT #3 – QUESTION 2Information from the December 31, 2020, year-end unadjusted trial balance of Woodstock Store is asfollows:DebitCreditCash.$ 3,500Merchandise inventoryStore supplies31,4001,715Office supplies.645Prepaid insurance.3,960Store equipment.57,615Accumulated depreciation, store equipment.$ 6,750Office equipment.13,100Accumulated depreciation, office equipment.6,550Accounts payable..4,000Zen Woodstock, capital.52,000Zen Woodstock, withdrawals31,500Rental revenue.14,600Sales.501,520Sales returns and allowances.2,915Sales discounts.5,190Purchases.331,315Purchase returns and allowances.2,140Purchase discounts.4,725Transportation-in3,690Sales salaries expense34,710Rent expense, selling space.24,000Advertising expense.6,400Store supplies expense-0-Depreciation expense, store equipment-0-Office salaries expense27,630Rent expense, office space13,000Office supplies expense.-0-Insurance expense.-0-Depreciation expense, office equipment.-O-Totals.$592,285$592,285Additional information:a. The balance on January 1, 2020, in the Store Supplies account was $480. During the year, $1,235 of storesupplies were purchased and debited to the Store Supplies account. A physical count on December 31,2020, shows an ending balance of $180.b. The balance on January 1, 2020, in the Office Supplies account was $50. Office supplies of $595 werepurchased in 2020 and added to the Office Supplies account. An examination of the office supplies at year-end revealed that $590 had been used.c. The balance in the Prepaid Insurance account represents a policy purchased on September 1, 2020; it wasvalid for 12 months from that date.d. The store equipment was originally estimated to have a useful life of 12 years and a residual value of $3,615.e. When the office equipment was purchased, it was estimated that it would last four years and have noresidual value.f. Ending merchandise inventory, $29,000.Required Analyze and determine the impact of the adjustments from (a) to (f) on the unadjusted trial bal-ance numbers. Prepare a classified multiple-step income statementEusing your adjusted trialbalance numbers. On June 1, 2020, Sam Near created a new travel agency called Tours-For-Less. These activities occurred duringthe company's first month:June 1 Near created the new company by investing $40,000 cash, $5,000 of furniture, and computer equipment worth$60,000.2 The company rented furnished office space by paying $3,200 rent for the first month.3 The company purchased $2,400 of office supplies for cash.10 The company paid $7,200 for the premium on a one-year insurance policy.14 The owner's assistant was paid $3,600 for two weeks' salary.24 The company collected $13,600 of commissions from airlines on tickets obtained for customers.The assistant was paid another $3,600 for two weeks' salary.28The company paid the month's $3,500 phone bill.The company repaired its computer for $700 on account.293030The owner withdrew $2,850 cash from the business for personal use.The company's chart of accounts included these accounts:101Cash302 Sam Near, Withdrawals106 Accounts Receivable405 Commissions Revenue124 Office Supplies610 Depreciation Expense, Furniture128 Prepaid Insurance612 Depreciation Expense, Computer Equipment160Furniture622 Salaries Expense161Accumulated Depreciation, Furniture637 Insurance Expense167 Computer Equipment640 Rent Expense168 Accumulated Depreciation, Computer Equipment650 Office Supplies Expense201Accounts Payable684 Repairs Expense209 Salaries Payable688 Telephone Expense301 Sam Near, Capital901 Income SummaryRequired1. Setupench ef the listed accounts.use eT-accounts.2. Prepare journal entries to record the transactions for June and post them to the accounts.3. Use the following information to journalize and post the adjustments for the month:a. Two-thirds of one month's insurance coverage was consumed.b. There were $1,600 of office supplies on hand at the end of the month.c. Depreciation on the computer equipment was estimated to be $1,650 and $400 on the furniture.d. The assistant had earned $320 of unpaid and unrecorded salary.e. The company had earned $3,500 of commissions that had not yet been billed.4. Prepare an income statement, a statement of changes in equity, and a classified balance sheet.5. Prepare journal entries to close the temporary accounts and post them to the accounts.6. Prepare a post-closing trial balance.

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ASSIGNMENT #3 - QUESTION 2 Information from the December 31, 2020, year-end unadjusted trial balance of Woodstock Store is as follows: Debit Credit Cash $ 3,500 Merchandise inventory. 31,400 Store supplies. 1,715 Office supplies. 645 Prepaid insurance 3,960 Store equipment. 57,615 Accumulated depreciation, store equipment $ 6,750 Office equipment. 13,100 Accumulated depreciation, office equipment. 6,550 Accounts payable. 4,000 Zen Woodstock, capital. 52,000 Zen Woodstock, withdrawals 31,500 Rental revenue. 14,600 Sales. 501,520 Sales returns and allowances 2,915 Sales discounts. 5,190 Purchases. 331,315 Purchase returns and allowances 2,140 Purchase discounts. 4,725 Transportation-in 3,690 Sales salaries expense 34,710 Rent expense, selling space. 24,000 6,400 Advertising expense. Store supplies expense. Depreciation expense, store equipment. -0- Office salaries expense. 27,630 Rent expense, office space. 13,000 Office supplies expense. -0- Insurance expense -0- Depreciation expense, office equipment -0- Totals $592,285 $592.285 Additional information: a. The balance on January 1, 2020, in the Store Supplies account was $480. During the year, $1,235 of store supplies were purchased and debited to the Store Supplies account. A physical count on December 31, 2020, shows an ending balance of $180. b. The balance on January 1, 2020, in the Office Supplies account was $50. Office supplies of $595 were purchased in 2020 and added to the Office Supplies account. An examination of the office supplies at year- end revealed that $590 had been used. c. The balance in the Prepaid Insurance account represents a policy purchased on September 1, 2020; it was valid for 12 months from that date. d. The store equipment was originally estimated to have a useful life of 12 years and a residual value of $3,615. e. When the office equipment was purchased, it was estimated that it would last four years and have no residual value. f. Ending merchandise inventory, $29,000. Required Analyze and determine the impact of the adjustments from (a) to (f) on the unadjusted trial bal- ance numbers. Prepare a classified multiple-step income statemen using your adjusted trial balance numbers.