Problem 5.4A (Static) Preparing a worksheet and financial statements, journalizing adjusting entries, and posting to ledger accounts. LO 5-2,5-3,5-4,5-5 Shayla Green owns Creative Designs. The trial balance of the firm for January 31, 20Xt, the first month of operations, is shown below. End-of-the-month adjustments must account for the following items: a. Supplies were purchased on January 1, 20x1: Inventory of supplies on January 31, 20x1, is $3,200. b. The prepaid advertising contract was signed on January 1 20X1, and covers a four-month period. c. Rent of $4,200 expired during the month d. Depreciation is computed using the straight-line method. The equipment has an estimated useful life of 10 years with no salvage value. Required: 1. Complete the worksheet for the month 2. Prepare an income statement statement of owner's equity, and balance sheet. No additional investments were made by the owner during the month 3. Journalize and post the adjusting entries. Analyze: of the adjusting entries had not been made for the month, by what amount would net Income be overstated or understated? Complete this question by entering your answers in the tabs below. Reg 1 Req 2 Inc Stmt Reg 2 Stmt of OE Reg 2 Bal Sheet Reg 3 Gen Journal Reg 3 Ledgers Analyze Complete the worksheet for the month Reg1 Reg 2 The Sort Reo 2 Sort of OE Reg 2 B Sheet Reg 3 Gen Journal Ree 3 Logers Complete the worksheet for the month CREATIVE DESIGNS Worksheet More Endedorary 31, 20X1 Adjusted Thal Balance Cred Data Credit Dube Credit Trial Balance Debit Crot 73.000 27 200 19 500 24 800 16,300 6.200 50.400 4200 67200 Accounts receivable Supplies Prepaid advertising Prepaid rent Equipment Accumulated depreciation Accounts payable Shayla Green, Capital Shayari Fees income Advertising Depreciation perman Rent expen 30.100 122.000 16.000 148.200 5200 8300 21.400 Supplies are Us 3800