Required:

Prepare and complete the entire 10-column work sheet for Nelson Company.

The following unadjusted trial balance is prepared at fiscal year-end for Nelson Company.

Rent expense and salaries expense are equally divided between selling activities and general and administrative activities. Nelson Company uses a perpetual inventory system.

Additional Information:

1. Store supplies still available at fiscal year-end amount to $2,250.
2. Expired insurance, an administrative expense, for the fiscal year is $1,650.
3. Depreciation expense on store equipment, a selling expense, is $1,575 for the fiscal year.
4. To estimate shrinkage, a physical count of ending merchandise inventory is taken. It shows $10,700 of inventory is still available at fiscal year-end

The following unadjusted trial balance is prepared at fiscal year-end for Nelson Company. NELSON COMPANY Unadjusted Trial Balance January 31, 2019 Credit Debit $ 18,500 14,000 5,400 2,300 42,700 $ 17,850 15,000 17,000 2,250 130,350 Cash Merchandise inventory Store supplies Prepaid insurance Store equipment Accumulated depreciation-store equipment Accounts payable 3. Nelson, Capital 3. Nelson, Withdrawals Sales Sales discounts Sales returns and allowances Cost of goods sold Depreciation expense-Store equipment Sales salaries expenses Office salaries expenses Insurance expense Rent expense-Selling space Rent expense-Office space Store supplies expense Advertising expense Totals 1,900 2,250 38,000 13,350 13,350 8,500 8,500 9,200 $180, 200 $180,200 Rent expense and salaries expense are equally divided between selling activities and general and administrative activities. Nelson Company uses a perpetual Inventory system. Additional Information: a. Store supplies still available at fiscal year-end amount to $2,250. b. Expired insurance, an administrative expense, for the fiscal year is $1,650. c. Depreciation expense on store equipment, a selling expense, is $1,575 for the fiscal year. d. To estimate shrinkage, a physical count of ending merchandise Inventory is taken. It shows $10,700 of Inventory is still available at fiscal year-end. Required: Prepare and complete the entire 10-column work sheet for Nelson Company. NELSON COMPANY Work Sheet For Year Ended January 31, 2019 Unadjusted Trial Balance Balance Sheet and Statement of Retained Earnings Adjustments Dr. Cr. Adjusted Trial Balance Dr. Cr. Income Statement Dr. Cr. Dr. Cr. Dr. Cr. $ Account Title Cash Merchandise inventory Store supplies Prepaid insurance Store equipment Accum. depreciationStore equipment Accounts payable J. Nelson, Capital J. Nelson, Withdrawals Sales 18,500 14,000 5,400 2,300 42,700 17,850 15,000 17,000 2,250 130,350 1,900 2,250 38,000 0 13,350 13350 0 Sales discounts Sales returns and allowances Cost of goods sold Depreciation expense-Store equipment Sales salaries expenses Office salaries expenses Insurance expense Rent expense-Selling space Rent expense-Office space Store supplies expense Advertising expense Totals Net income Totals 8,500 8,500 0 9,200 180,200 $ 180,200 $ $ 0 $ 0 $ 0 $ 0 0 0 0 0 $ 0 $ 0 $ 0 $ 0