The following Excel file has multiple worksheets which will be used in completing your responses.

Transactions for January of $2020$

$1/3/20$ Paid interest payable plus $$4,000$ toward long term debt

$1/2/20$ Paid salaries payable

$1/3/20$ Purchased inventory $(500$ units at $$46)$ on credit $23000$

$1/4/20$ Paid shipping on inventory of $$250$

$1/6/20$ Purchased supplies on credit for $$700$

$1/9/20$ Received $$3,000$ from customers for products to deliver in March

$1/10/20$ Sold $600$ units on credit with a sales price of $$105($assume perpetual LIFO$)$

$1/15/20$ Purchased inventory on account $(700$ units at $$47)$

$1/20/20$ Paid $$41,600$ on accounts payable

$1/21/20$ Collected $$121,350$ in cash from customers in payment for earlier sales

$1/22/20$ Wrote off accounts receivable for $$815$

$1/25/20$ Sold $200$ units on credit with a sales price of $$105($still perpetual LIFO$)$

$1/26/20$ Paid wages to employees for work done in January $$31,000$

$1/26/20$ Received utility bill for $$7,200$ for utilities used in January that will be paid in February

$1/31/20$ Delivered $100$ units of product to customers that they paid $10,000$ for in $2019($unearned revenue$)$

$1/31/20$ Counted supplies and found $$1,240$ remaining

$1/31/20$ Employees worked and earned $$4,700$ in January that will not be paid until February

$1/31/20$ Interest at $12\%$ per year on the long term debt $($new balance$)$ has not been paid

$1/31/20$ The prepaid insurance will last $4$ months into $2020$ before a new policy will be required

$1/31/20$ The allowance for bad debts is estimated at $4\%$ of total accounts receivable

$1/31/20$ A count of inventory showed that $50$ units were damaged such that they are worthless and will be thrown awayBalance Sheet for end of $2019$

$\backslash$table$[[$Assets$],[$Cash$,,76,850,],[$Accounts Receivable $($net of allowance of $7200),237,884,],[$Inventory$,,45,500,(1000$ units at $$45\mathrm{.}50$ each$)],[$Prepaid Insurance,$2,000,],[$Supplies$,,1,625,],[$Total Current Assets,$363,859,],[$Property$,$ Plant and Equipment, Net,$177,500,],[$Land$,,32,000,],[,,],[$Total Assets,$573,359,]]$

"Beginning Transactions" on the first Excel worksheet will provide the Balance Sheet for $2019$ and the Transactions for January $2020.$

On the second Excel worksheet, "Journal Entries", you should record the transactions provided on the first Excel worksheet by creating Journal Entries with dates and descriptions.

On the third Excel worksheet, $"$T$-$accounts and trial balance", you should record the required journal entries in the T$-$accounts and prepare an unadjusted trial balance.

The fourth and final Excel worksheet, "Financial Statements", you will prepare an Income Statement, Statement of Equity and a Balance Sheet as of January $31,2020$ and answer the inventory question.