Following are selected account balances (in millions of dollars) from a recent UPS annual report, followed...

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Following are selected account balances (in millions of dollars) from a recent UPS annual report, followed by several typical transactions. Assume that the following are account balances on December 31 (end of the prior fiscal year): Balance Account Property, plant, and equipment (net) Retained earnings Accounts payable Prepaid expenses Accrued expenses payable Long-term notes payable Other non-current assets Common stock ($0.01 par value) Account $15,894 Receivables Balance $2,049 11,606 1,457 Other current assets Cash 979 1,084 208 Spare parts, supplies, and fuel 2,270 Other non-current liabilities 1,690 Other current liabilities 2,852 594 3,590 Additional Paid-in Capital 2,139 907 1 These accounts are not necessarily in good order and have normal debit or credit balances. (Note: Because these are not all of UPS's accounts, these will not balance in a trial balance.) Assume the following transactions (in millions, except for par value) occurred the next fiscal year beginning January 1 (the current year): a. Provided delivery service to customers, who paid $6,390 in cash and owed $30,304 on account. b. Purchased new equipment costing $3,634; signed a long-term note. c. Paid $9,864 cash to rent equipment and aircraft, with $4,636 for rent this year and the rest for rent next year (a prepaid expense). d. Spent $1,064 cash to repair facilities and equipment during the year. e. Collected $30,285 from customers on account. f. Repaid $250 on a long-term note (ignore interest). g. Issued 200 million additional shares of $0.01 par value stock for $26 (that's $26 million). h. Paid employees $11,776 for work during the year. i. Purchased spare parts, supplies, and fuel for the aircraft and equipment for $9,564 cash. j. Used $6,950 in spare parts, supplies, and fuel for the aircraft and equipment during the year. k. Paid $984 on accounts payable. I. Ordered $108 in spare parts and supplies. Required: 1. Prepare journal entries for each transaction. 2. Enter the ending balances from December 31 as the respective beginning balances for January 1 of the current year. Record in the T-accounts the effects of each transaction. Label each using the letter of the transaction. 3. Prepare an unadjusted income statement for the current year ended December 31. 4. Compute the company's net profit margin ratio for the current year ended December 31. Following are selected account balances (in millions of dollars) from a recent UPS annual report, followed by several typical transactions. Assume that the following are account balances on December 31 (end of the prior fiscal year): Balance Account Property, plant, and equipment (net) Retained earnings Accounts payable Prepaid expenses Accrued expenses payable Long-term notes payable Other non-current assets Common stock ($0.01 par value) Account $15,894 Receivables Balance $2,049 11,606 1,457 Other current assets Cash 979 1,084 208 Spare parts, supplies, and fuel 2,270 Other non-current liabilities 1,690 Other current liabilities 2,852 594 3,590 Additional Paid-in Capital 2,139 907 1 These accounts are not necessarily in good order and have normal debit or credit balances. (Note: Because these are not all of UPS's accounts, these will not balance in a trial balance.) Assume the following transactions (in millions, except for par value) occurred the next fiscal year beginning January 1 (the current year): a. Provided delivery service to customers, who paid $6,390 in cash and owed $30,304 on account. b. Purchased new equipment costing $3,634; signed a long-term note. c. Paid $9,864 cash to rent equipment and aircraft, with $4,636 for rent this year and the rest for rent next year (a prepaid expense). d. Spent $1,064 cash to repair facilities and equipment during the year. e. Collected $30,285 from customers on account. f. Repaid $250 on a long-term note (ignore interest). g. Issued 200 million additional shares of $0.01 par value stock for $26 (that's $26 million). h. Paid employees $11,776 for work during the year. i. Purchased spare parts, supplies, and fuel for the aircraft and equipment for $9,564 cash. j. Used $6,950 in spare parts, supplies, and fuel for the aircraft and equipment during the year. k. Paid $984 on accounts payable. I. Ordered $108 in spare parts and supplies. Required: 1. Prepare journal entries for each transaction. 2. Enter the ending balances from December 31 as the respective beginning balances for January 1 of the current year. Record in the T-accounts the effects of each transaction. Label each using the letter of the transaction. 3. Prepare an unadjusted income statement for the current year ended December 31. 4. Compute the company's net profit margin ratio for the current year ended December 31.