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Shayla Green owns Creative Designs. The trial balance of the firm for January 31, 20x1, the first month of operations, is shown below, End-of-the-month adjustments must account for the following items: a. Supplies were purchased on January 1, 20xt: Inventory of supplies on January 31, 20x1, is $3,200. b. The prepaid advertising contract was signed on January 1, 20x1, and covers a four-month period. c. Rent of $4,200 expired during the month. d. Depreciation is computed using the straight-line method. The equipment has an estimated useful life of 10 years with no salvage value Required: 1. Complete the worksheet for the month 2. Prepare an income statement statement of owner's equity, and balance sheet. No additional investments were made by the owner during the month 3. Journalize and post the adjusting entries. Analyze of the adjusting entries had not been made for the month, by what amount would net income be overstated or understated? Complete this question by entering your answers in the tabs below. Regt Heg 2 Inc Strut Reg 2 Stunt of OE Reg 2 Bal Sheet Reg 3 Gen Journal Reg 3 Ledgers Analyze Complete the worksheet for the month CREATIVE DESIGN CREATIVE DESIGNS Worksheet Month Ended January 31, 20x1 Adjustments Adjusted Trial Balance Debat Credit Det Credit Incontesto Debit Account Name $ Trial Balance Debit Credit 73,000 27.200 19,500 24.800 50.400 67.200 33 100 122000 Cash Accounts receivable Supplies Prepaid advertising Prepaid root Equipment Accumulated depreciation Equipment Accoats payabile Shayla Green Capital Shayla Green, Drawing For income Advertising expense Deprecation expense Equipment Rent expense Salespeese Supplies expert Us espere sub 16.000 1 200 21.400 2,800 303,300 5 303.300 CREATIVE DESIGNS Worksheet Month Ended January 31, 20X1 Adjustments Adjusted Trial Balance Debit Credit Debit Credit Income Statement Debit Credit Balance Sheet Debit Credit al Balance Credit 000 200 500 800 400 200 33.100 122.000 000 148.200 400 B00 300 5 303,300

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