1. Adjusting Entries (25 points) Bombali Inc. has been in operation for six months and it adjusts and closes its accounts at the end of each month. The unadjusted trial balance at June 30, 2021 is listed below: the debits and credits are to be created by you as these numbers are not listed by debits and credits. You do not have to recreate the unadjusted trial balance but you will need the total for each account to create the adjusted trial balance. Accounts Accounting Fee Earned Account Payable Accumulated Depreciation Equipment Account Receivable Capital Stock Cash Dividend Equipment Income Tax Payable Insurance Payable Land Notes Payable Office Supplies Prepaid Rent Retaining Earning Salary Expense Service Expense Unearned revenue Total : Amounts 700,000.00 40,000.00 6 0,000.00 137,000.00 85,000.00 670,360.00 45,000.00 1200,000.00 23,460.00 20,000.00 400,000.00 400,000.0 110,000.00 144,000.00 300,000.00 89,500.00 38,400.00 130,000.00 5,442,720.00 The Following Information related to month end adjustments: A. The company CPA has estimated the total Income tax for June 2021 is 30% of income before taxes which amounted to $95,100.00 B. Office supplies on hand June 30, amounted to $50,000. C. On June, 2021, Bombali INC prepaid $ 120,000 of rent for 6 months. D. Many Customer pay in advance for Accounting services; Fees of $80,000 were earned during the month of June. E. Salaries earned by employees during the last week and the half for the month of June were not recorded and not paid amounted to $49,200. F. Accounting services performed during the last week of the month of June but not yet billed or recorded amounted to $238,000. G. The Useful life of the equipment was estimated to be 4 years with a $240,000 residual value. H. On June 1, 2021 the company borrowed money from the bank by signing a $480,000, 10%, 120 months (10 years) note payable. The entire note plus 120 months interest is due on May 30, 2031. Requirement: A. For each of the above numbered paragraphs, prepare (journalize) the adjusting entries required at June 30, 2021 including an explanation. B. Prepare the company's adjusting trial balance dated June 30, 2021 C. Prepare the income statement D. Show the effect of transactions A through H on the Income statement and Balance sheet after the adjustments were made. Use the following (Increase =I, Decrease =D and Not Effect = NE) similar to your lab (Chapter 3) Income Statement Balance sheet Revenue - Expenses = Net Income Asset = Liability + Owners Equity =