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The monster....COMPREHENSIVE PROBLEM DIRECTIONS/INSTRUCTIONS: Required: complete the accounting process for 12 transactions (journals, T Accounts, Trial Balance, 3 Financial Statements) HINT!!! Use the T Accounts provided before class as your "chart of accounts". THIS PROBLEM WILL REQUIRE A MINIMUN OF 5 PAGES OF PAPER. PLEASE PREPARE AS DIRECTED BELOW: Page 1) Read and analyze each transaction. Prepare a journal entry for each transaction 1-12. You may skip the memos and use abbreviations to limit your writing. Page 2) Post your journals to T Accounts and properly compute the ending balances of each. Be sure to label each transaction in the T Accounts. Page 3) Prepare a Trial Balance from your T Accounts Page 4) Prepare an Income Statement for the accounting period - You may put the Inc Stmt & Stmt of RE on the same sheet of paper Page 4) Prepare a Statement of Retained Earnings - you may start a new sheet or use the same paper as the income statement Page 5) Prepare a Balance Sheet - Put the balance sheet on 1 sheet of paper. Closing entries are not required, but T accounts were provided if you'd like to prepare them. The following 12 transactions took place during the MONTH of January 2021. (1 listed them in the next box below) Comprehensive Problem.... TRANSACTION LISTING - USE FOR COMPLETING THE ACCOUNTING PROCESS Tom forms TechSavvy Saviors, Inc to assist those of us struggling to learn technology during these changing times. The company is formed during January 2021 and the following transactions occur during the month. NOTE: AMOUNTS ARE IN THE COO'S. I HAVE DROPPED THE ZERO'S FOR YOU TO MAKE IT EASIER FOR YOU. YOU DO NOT NEED TO ADD THEM BACK AND MAY LEAVE THE NUMBERS AS SHOWN. a) Tom contributes $15 cash AND Equipment worth $5 to TechSavvy Saviors, Inc in exchange for Common Stock. b) Tech Savvy pays cash of $3 for monthly software fees for the current month. c) Tech Savvy finds a great new office space and pays $5 cash in advance for rent for February 2021. d) Tech Savvy purchases computer supplies for future use on account for $6 e) Tech Savvy completes their first consulting service to a happy customer and is paid $6 cash. f) Tech Savvy pays employees $9 for their efforts in the current month. g) Tech Savvy purchases computer equipment for $11 by paying $1 in cash and the rest with a loan. h) Tech Savvy makes a partial payment of $4 towards the supplies purchased in #4. 1) Tech Savvy completes consulting services for customers totaling $10. The customers pay $3 in cash and the rest "on account". i) Tech Savvy pays Tom (the owner) $2 cash dividend. k) Tech Savvy is getting a good reputation and a new client pays them $8 for services to be completed in the next accounting period. 1) Tech Savvy received a $4 cash payment from a customer from the transaction mentioned in #9 Tech Savvy JOURNAL ENTRIES and T Accounts Based on the 11 transactions decsribed, prepare journal entries and T accounts. These will need to be prepared on at least 2 sheets of paper and included with your PDF Upload. Nothing is needed to be entered in the text box below, it is only so I can update your score when I grade your PDF. Edit View Insert Format Tools Table 12pt Paragraph BIU AL Tv p LAR O words 2 Tech Savvy Trial Balance Include in your PDF a trial balance based on the 11 transactions provided. If you enter your amount for total debits below, you may have an indication on how you scored on this portion. Your final score will be based off your graded PDF. Question 19 15 pts INCOME STATEMENT Based on your calculations, what is Tech Savvy's Net Income (or loss) for the year 2020? A Net Loss should be entered with a negative, if applicable. You will still need to upload your actual income statement for grading. Providing your answer here gives you an indication of your score before I grade it. STATEMENT OF RETAINED EARNINGS Based on your calculation, what is Tech Savvy's ending Retained Earnings? You will still need to upload your actual RE Statement for grading. Providing your answer here gives you an indication of your score before I grade it. Question 21 25 pts BALANCE SHEET Based on your calculations, what are Tech Savvy's Total Assets? You will still need to upload your actual BALANCE SHEET for grading. Providing your answer here gives you an indication of your score before I grade it. COMMUNICATE THE RESULTS: Review the Financial Statements you prepared for TechSavvy. Who has a larger claim on the assets, Tom (the owner) or the Creditors

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