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Swifty Corporations balance sheet at December 31, 2024, is presented as follow. SWIFTY CORPORATION Balance Sheet December 31, 2024 Cash $66,420 Accounts payable $69,120 Accounts receivable 122,850 Common stock ($10 par) 216,000 Allowance for doubtful accounts (4,050) Retained earnings 343,980 Supplies 11,880 Land 108,000 Buildings 383,400 Accumulated depreciationbuildings (59,400) During 2025, the following transactions occurred. 1. On January 1, Swifty issued 3,240 shares of $40 par, 7% preferred stock for $132,840. 2. On January 1, Swifty also issued 2,430 shares of the $10 par value common stock for $56,700. 3. Swifty performed services for $864,000 on account. 4. On April 1, 2025, Swifty collected fees of $97,200 in advance for services to be performed from April 1, 2025, to March 31, 2026. 5. Swifty collected $745,200 from customers on account. 6. Swifty bought $94,770 of supplies on account. 7. Swifty paid $86,940 on accounts payable. 8. Swifty reacquired 1,080 shares of its common stock on June 1 for $28 per share. 9. Paid other operating expenses of $508,140. 10. On December 31, 2025, Swifty declared the annual cash dividend on preferred stock and a $1.20 per share dividend on the outstanding common stock, all payable on January 15, 2026. 11. An account receivable of $4,590 which originated in 2024 is written off as uncollectible. Adjustment data: 1. A count of supplies indicates that $15,930 of supplies remain unused at year-end. 2. Recorded revenue from item 4 above. 3. The allowance for doubtful accounts should have a balance of $9,450 at year end. 4. Depreciation is recorded on the building on a straight-line basis based on a 30-year life and a salvage value of $27,000. 5. The income tax rate is 30%. (Hint: Prepare the income statement up to income before taxes and multiply by 30% to compute the amount.) Prepare journal entries for the transactions listed above and adjusting entries. Prepare an adjusted trial balance at December 31, 2025. Prepare an income statement for the year ending December 31, 2025. Prepare a retained earnings statement for the year ending December 31, 2025 Prepare a classified balance sheet as of December 31, 2025

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