3-1 Complete Fluff, Inc. Learning Mode beag Module 3 Homework Your homework will always include finishing whatever was not completed during class and reading all pages up to the start of the next class. Problem 3-2 Chris's Beamer Biz, Inc., Year 1 - 20X1 Chris opened a Beamer business on January 1, 20X1. She started with $600,000; 400,000 of her own money, for which she received 5,000 shares of common stock, and $200,000 borrowed from her Uncle Phil (Note Payable). The Note Payable to Uncle Phil requires that she pay the interest at 4% annually on December 31. She paid the $8,000 interest on December 31, 20X1. She is required to repay the principal at the end of year 20X5. She planned to operate her business as a corporation, Chris's Beamer Biz, Inc. (CBB, Inc.). During the year she bought 11 Beamers for $40,000 each. She sold ten of the Beamers for $60,000 each. Other expenses she paid cash for were: wages, $15,000; rent, $12,000; and utilities $6,000. She signed a 20-year lease and put down a rent security deposit of $1,000. In addition to the cash she invested on January 1st, on July 1st she also invested a piece of land she owned in the business that was worth $50,000 in exchange for 500 shares of common stock. At the end of the year she owed her worker wages of $1,000. She paid a dividend of $15,000. The tax rate is 30% and Chris will pay 20X1 taxes in 20X2. So how did Chris do? Prepare Journal Entries, T-Accounts, Financial Statements