The Green Thumb Gardener is a retail store that sells plants, soil, and decorative pots. On December 31, 2019, the firm's general ledger contained...

The Green Thumb Gardener is a retail store that sells plants, soil, and decorative pots. On December 31, 2019, the firm's general ledger contained the accounts and balances that appear below.

ACCOUNTS AND BALANCES

Cash$5,100 Dr. 

Accounts Receivable 2,000 Dr.

 Allowance for Doubtful Accounts 46 Cr.

 Merchandise Inventory 10,700 Dr. 

Supplies 1,140 Dr.

 Prepaid Advertising 1,080 Dr. 

Store Equipment 7,740 Dr. 

Accumulated Depreciation—Store Equipment 1,440 Cr. 

Office Equipment 1,240 Dr. 

Accumulated Depreciation—Office Equipment 220 Cr. 

Accounts Payable 2,565 Cr. 

Social Security Tax Payable 370 Cr. 

Medicare Tax Payable 82 Cr. 

Federal Unemployment Tax Payable     

State Unemployment Tax Payable    

 Salaries Payable     

Beth Argo, Capital 22,539 Cr. 

Beth Argo, Drawing 19,400 Dr. 

Sales 87,048 Cr. 

Sales Returns and Allowances 1,040 Dr.

 Purchases 44,600 Dr. 

Purchases Returns and Allowances 370 Cr. 

Rent Expense 5,400 Dr. 

Telephone Expense 530 Dr. 

Salaries Expense 13,500 Dr. 

Payroll Taxes Expense 1,210 Dr.

 Income Summary     

Supplies Expense     

Advertising Expense     

Depreciation Expense—Store Equipment     

Depreciation Expense—Office Equipment     

Uncollectible Accounts Expense      

ADJUSTMENTS

a.-b. Merchandise inventory on December 31, 2019, is $11,721.

1. During 2019, the firm had net credit sales of $29,000; the firm estimates that 0.5 percent of these sales will result in uncollectible accounts.
2. On December 31, 2019, an inventory of the supplies showed that items costing $245 were on hand.
3. On October 1, 2019, the firm signed a six-month advertising contract for $1,080 with a local newspaper and paid the full amount in advance.
4. On January 2, 2018, the firm purchased store equipment for $7,740. At that time, the equipment was estimated to have a useful life of five years and a salvage value of $540.
5. On January 2, 2018, the firm purchased office equipment for $1,240. At that time, the equipment was estimated to have a useful life of five years and a salvage value of $140.
6. On December 31, 2019, the firm owed salaries of $1,770 that will not be paid until 2020.
7. On December 31, 2019, the firm owed the employer's social security tax (assume 6.2 percent) and Medicare tax (assume 1.45 percent) on the entire $1,770 of accrued wages.
8. On December 31, 2019, the firm owed federal unemployment tax (assume 0.6 percent) and state unemployment tax (assume 5.4 percent) on the entire $1,770 of accrued wages.

Required:

1. Prepare the Trial Balance section of a 10-column worksheet. The worksheet covers the year ended December 31, 2019.
2. Enter the adjustments above in the Adjustments section of the worksheet.
3. Complete the worksheet.

Analyze:

By what amount were the assets of the business affected by adjustments? Total assets Increase or decrease__ by __________________

Complete the worksheet. (Enter both the debit and credit effects wherever required. Round your intermediate calculations and final answers to 2 decimal places.)