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The following information relates to the Companys month M1 adjustments:

1. Office supplies consumed during the month amounted to $2,900.

2. On that month, the company paid $5,000 to renew their insurance policy.

3. Fees recorded as Client Fees in the amount of $8,000 were earned during the current month.

4. On that month, the company borrowed $30,000 by signing a long term note payable.

5. Part of All Online had moved into the new facilities and had to pay $4.000 for rent in cash.

6. All Online purchased a new piece of equipment. The new equipment costed $5,000 and was paid for in cash.

7. All Online incurs $2,000 in extra salaries expense.

Question 3: Prepare the journal entries (T-accounts) for the above transactions. (20 points)

Question 4: Adjust the Balance Sheet based on the information provided. (15 points)

A list of selected accounts for the following month M2 for All Online is shown below:

Accounts payable $5,000 Accounts receivable $13,500 Accumulated depreciation $3,480 Administrative expenses $12,700 Bond payable $13,000 Buildings $17,400 Cash $28,000 Cost of services received $15,000 Dividends $5,875 Inventory $1,610 Notes payable $9,000 Notes receivable $27,000 Salaries and wages payable $23,500 Sales revenue $100,000 Selling expenses $56,000 Question 5: If taxes are 35%, prepare an income statement. (20 points) Question 6: Adjust the Balance Sheet with all the accounts provided above. (20 points)

ALL ONLINE, INC. uestion 1: Prepare the Balance Sheet based on the information supplied. (15 points) uestion 2: Compute the Accounting Ratios. (10 points) The following information relates to the Company's month M1 adjustments: 1. Office supplies consumed during the month amounted to $2,900. 2. On that month, the company paid $5,000 to renew their insurance policy. 3. Fees recorded as Client Fees in the amount of $8,000 were earned during the current month. 4. On that month, the company borrowed $30,000 by signing a long term note payable. 5. Part of All Online had moved into the new facilities and had to pay $4.000 for rent in cash. 6. All Online purchased a new piece of equipment. The new equipment costed $5,000 and was paid for in cash. 7. All Online incurs $2,000 in extra salaries expense

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