Question $(40$ marks$)$

Rowe Inc. has been in operations for approximately $5$ years. It is a private company, so the company prepares financial statements once a year. The company has no plans in the near future to go public. See the excel file for the trial balance.

The company has a two year insurance policy that was taken out on May $1^{st},2022.$

On August $1$st Rowe Inc. converted a customer that owed $$50$ from an accounts receivable to a notes receivable. Rowe Inc. borrows funds at $4\%$ and the customer borrows funds at $5\%$

The company wrote off a customer for $$10.$ The company estimates that $4\%$ of the ending accounts receivable balance will not be collected.

The building was purchased $5$ years ago. It has an estimated useful life of $20$ years and a residual value of $$20.$

During the year the company purchased $$2$ in supplies. This has already been recorded. At the end of the year it was determined that there are $$4$ in supplies.

The company stopped business and physically counted inventory. Their inventory count at the end of the year was $$202.$

On October $1^{st}$ Rowe Inc. collected money in advance from Zinc Inc. to provide consulting services over the next $8$ months. The work will be done evenly over the contract.

Employees are paid every Monday for the previous work week. They work Monday to Friday. There are $3$ employees and they each make $$10$ per week. This year December ${31}^{st}$ is on Saturday.