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The following information is pertinent:

$1.$ All insurance was paid in January for $1-$year policies that are now expired

$2.$ The credit manager estimates that $$350$ of Accounts Receivable will be uncollectible

$3.$ Depreciation for $2023$ has not yet been adjusted. The current year depreciation is calculated to

be $$474$

$4.$ The commissions are paid to independent contractors, not employees

$5.$ No investments or withdraws were made by owners during the year

$6.$ Some of the supplies and office supplies were specific to a certain project, were used

immediately, and were originally charged to expense accounts

$7.$ A physical count of ordinary office supplies indicated that $$103$ worth of office supplies were still

present

$8.$ Client Expense includes items such as permits, inspections, etc. that were paid by the business

for specific clients

$9.$ The client has elected to omit substantially all notes and disclosures that would normally

accompany a financial statement

Directions:

$1.$ Prepare journal entries to post the adjustments.

$2.$ Prepare a Balance Sheet as of December $31,2023$ and related statements of Income and Equity

for the year then ended $($a worksheet may be helpful$).$

$3.$ Draft a cover letter forwarding these statements to your client $($All Seasons Service$)$ and guiding

them in making adjustments and closing entries.

$4.$ The statements must be in a professional typed format.

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