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Glam Gleam Cleaning's post-closing trial balance at November 30, 2017, is as follows: (Click the icon to view the post-closing trial balance.) Glam Gleam Cleaning has decided that, in addition to providing cleaning services, it will sell cleaning products. Glam Gleam uses the perpetual inventory system. During December 2017, Glam Gleam completed the following transactions: (Click the icon to view the transactions.) Read the requirements. Requirement 1. Journalize and post the December transactions. Compute each account balance, and denote the balance as Bal. Identify each accounts payable and accounts receivable with the vendor or customer name. Begin by journalizing the December transactions. (Round to the nearest whole dollar. Record debits first, then credits. Select the explanation on the last line of the journal entry table.) Dec. 2: Purchased 800 units of inventory for $8,000 on account from Gleam Cube, Co. on terms, 3/10, n/20. Date Dec. 2 Accounts and Explanation Debit Credit More info Requirements Reference Dec. 2 Purchased 800 units of inventory for $8,000 on account from Gleam Cube, Co. on terms, 3/10, n/20. 5 Purchased 1,000 units of inventory from Dirt Buster on account with terms 5/10, n/30. The total invoice was for $11,000, which included a $200 freight charge. 7 Returned 500 units of inventory to Gleam Cube from the December 2 purchase (cost $5,000). 9 Paid Dirt Buster. 11 Sold 250 units of goods to Messy Maids for $5,250 on account with terms 5/10, n/30. Glam Gleam's cost of the goods was $2,500. 12 Paid Gleam Cube. 15 Received 20 units with a retail price of $420 of goods back from customer Messy Maids. The goods cost Glam Gleam $200. 21 Received payment from Messy Maids, settling the amount due in full. 28 Sold 120 units of goods to Ashlyn, Inc. for cash of $3,000 (cost $1,133). 29 Paid cash for utilities of $400. 30 Paid cash for Sales Commission Expense of $304. 31 Recorded the following adjusting entries: a. Physical count of inventory on December 31 showed 900 units of goods on hand, $9,414 b. Depreciation, $290 c. Accrued salaries expense of $700 d. Prepared all other adjustments necessary for December (Hint: You will need to review the adjustment information from November to determine the remaining adjustments). Assume the cleaning supplies left at December 31 are $50. 1. Journalize and post the December transactions. Compute each account balance, and denote the balance as Bal. Identify each accounts payable and accounts receivable with the vendor or customer name. 2. Journalize and post the adjusting entries. Denote each adjusting amount as Adj. Compute each account balance, and denote the balance as Bal. After posting all adjusting entries, prove the equality of debits and credits in the ledger. 3. Prepare the December multi-step income statement, statement of owner's equity, and classified balance sheet for the company. List Service Revenue under gross profit, and ignore classifying the expenses as selling and administrative. 4. Journalize the December closing entries for the company. 5. Compute the gross profit percentage for the company. Adjustment information Nov. 2 The business paid $4,800 to Picture Perfect Properties for November through February rent. (Debit Prepaid Rent) 3 Paid $5,400 for a business insurance policy for the term November 1, 2017 through October 31, 2018. (Debit Prepaid Insurance) 16 Received $18,000 for a 1-year contract beginning November 16 for cleaning services to be provided. Contract begins November 16, 2017, and ends November 15, 2018. (Credit Unearned Revenue) 20 Borrowed $30,000 from bank with interest rate of 12% per year. Glam Gleam Cleaning Post-Closing Trial Balance November 30, 2017 Account Title Cash Balance Debit $ 50,650 Credit Accounts Receivable 900 Cleaning Supplies 50 Prepaid Rent 3,600 Prepaid Insurance 4,950 Equipment 5,400 Truck 12,000 Accumulated Depreciation-Equipment and Truck $ 290 Accounts Payable 2,200 Unearned Revenue 17,250 100 30,000 27,710 $ 77,550 $ 77,550 Interest Payable Notes Payable (Long-term) Hayman, Capital Total Print Done Print Done Print Done

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