Starz Department Store is located near the Towne Shopping Mall. At the end of the company's calendar year on December 31, 2014, the following accounts appeared in two of its trial balances.

Instructions
(a) Prepare a multiple-step income statement, a retained earnings statement, and a classified balance sheet. $16,000 of the mortgage payable is due for payment next year.
(b) Journalize the adjusting entries that were made.
(c) Journalize the closing entries that arenecessary.

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Unadjusted Adjusted Unadjusted Adjusted 4,000 4,000 75,000 80,000 2,400 4,800 4,800 64,600 108,000 14,500 4,300 8,000 724,000 12,000 5 Accounts Payable Accounts Reccivable Accumulated Depr-Buildings 4,10 52,500 Mortgage Payable Accumulated Depr-Equipment 29,600 42,900 Prepaid Insurance Buildings Cash Common Stock Cost of Goods Sold Depreciation Expense Dividends Equipment Insurance Expense Interest Expense Interest Payable 79,300 80,300 Interest Revenue 50,300 50,300 nventory 75,000 80,000 9,600 290,000 290,000 Property Tax Expense 23,800 23,800 Property Taxcs Payable 112,000 112,000 Retained Earnings 64,600 412,700 412,700 Salaries and Wages Expense 108,000 23,700 Sales Commissions Expense 10,200 24,000 110,000 24,000 110,000 Sales Commissions Payable Sales Returns and Allowances 7,200 Sales Revenue 8,600 Utilitics Expensc 5,600 8,000 724,000 11,000 1 3,000