Accounting LIA P$2$ Eval FALL $2024$The Amsterdam sole proprietorship owned by Mr Shu, has a fiscal year end of June $30$th$.$ The bookkeeper has been ill and was unable to complete the recording of the items to follow. You have been called upon to complete the work and present the financial statements for the year ended June $30,2023.$Information regarding unrecorded or unadjusted events:$1.$ Depreciation expense must be adjusted. The acquisition of the equipment was on October $1,2020.$ Residual value was $$200,000$ with a useful life of $14$ years$\mathrm{.}2.$ Supplies at June $30,2023,$ after a physical count, was determined to be $$386,0003.$ Utilities expense not paid for June $2023$ amounting to $$76,500$ was not included in the records as the invoice arrived after preparation$\mathrm{.}4.$ Total expired insurance for the year is $$575,0005.$ Accrued wages earned by the employees are $$110,0006.$ The company pays $$22,000$ of interest on all the notes payable per month on the $20$th of the month. Of the Long term notes payable, $$500,000$ will be paid by June $30,20247.$ Interest on the notes receivable in the sum of $$2,900$ has not been recorded or received and $$15,000$ of the notes receivable due November $2026$ will be received by June $30,20248.$ After inspection of the unearned revenue account, it was determined that $$24,000$ value of sales had been completed by June $30$th$\mathrm{.}9.$ It was observed that $$98,000$ of product $($with a cost of $24,000)$ had been shipped out FOB shipping point on June $30$ and was not recorded nor payment received$\mathrm{.}10.$ An amount of $$17,500$ recorded to revenue, represents money received but for which no service has yet been rendered$\mathrm{.}11.$ A client returned product having a sales value of $$16,000($with a cost of $$6\mathrm{.}000)$ which was received on June $30,2023$ but has not been recorded$\mathrm{.}12.$ Inventory purchased at the end of June in the amount of $$65,000$ with terms of $2/10$ n$/30$ has not been recorded or included in inventory$\mathrm{.}13.$ On the last day of June, defective units received from a supplier were returned but not recorded at that date, in the amount of $$9,500.$ Required:$1.$ Prepare the adjusting entries in proper form$2.$ Prepare the adjusted trial balance as at June $302023($You may use formal ledgers, T accounts or a worksheet to determine the balances for the adjusted trial balance$3.$ Prepare the income statement for the fiscal period ending June $30,20234.$ Prepare the statement of changes in equity for the fiscal period ending June $30,20235.$ Prepare the classified balance sheet for the fiscal period ending June $30,20236.$ Prepare the closing entries as at June $30,2023$ The Amsterdam Unadjusted Trial Balance June $30,2023$ UnadjustedT$/$B debitcredit$101$Cash$3,986,749104$Accounts receivable$825,800110$Notes receivable due January $202438,270112$Interest receivable $120$Inventory$308,900126$Supplies$770,000127$income tax refundable $128$Prepaid insurance$586,250150$Land held for sale$65,000152$Notes Receivable due Nov $202650,000167$Equipment$7,200,000168$Accumulated deprec., equipment $500,000201$Accounts payable $970,000202$Notes payable due March $2024418,520208$Interest payable $209$Unearned revenue $96,149210$Wages payable $251$Long$-$term notes payable $4,500,000301$Capital $6,060,600302$Withdrawals$50,000401$Sales $12,765,820402403$Sales allowanceInterest revenue $600$Cost of goods sold$4,169,620612$Depreciation expense, equipment$125,000623$Wages expense$2,740,000633$Interest expense$110,000637$Insurance expense$143,750639$Bad debt expense $640$Rent expense$2,440,000652$Supplies expense$21,750683$Business tax expense$420,000684$Repairs expense$420,000690$Utilities expense$840,000$ Totals$25,311,08925,311,089$