3. (23 marks) The December 31, 2020, trial balance of John's Delivery Service, before adjusting entries, included the following selected accounts. Note: This is a partial trial balance. Many accounts are not shown. Accounts receivable Notes receivable Prepaid insurance Prepaid rent Equipment Accumulated depreciation equipment Unearned delivery revenue Salaries expense Delivery revenue 176,000 200,000 18,000 36,000 240,000 61.520 24,000 120,000 473,300 Additional data: 1. The equipment has an estimated life of 12 years, no residual value, and the straight-line method is used for calculating depreciation. 2. of the revenue received in advance, $12,000 has been earned by December 31. 3. Delivery services performed but not billed at year-end are $8,000. 4. The prepaid rent was payment for a six-month lease beginning on November 1, 2020. 3 5. The prepaid insurance represents the annual premium on a policy providing coverage starting September 30, 2020. 6. On September 30, 2020, we accepted a $200,000 note from a customer in payment for delivery services. It is a six month note and the interest rate is 5%. Use months for calculations. 7. The supplies inventory on January 1, 2020, was $8,770. Supplies costing $15,650 were acquired during the year. A count on December 31, 2020, indicated supplies on hand of $6,820. 8. Employees are paid a total of $5,000 on every Friday (for five days work, Mon-Fri). This year, year-end fell on a Tuesday. Required: Prepare the necessary adjusting entries for the year ended December 31, 2020. As necessary, you may use account titles not listed in the partial trial balance. You may omit the explanation line. Date Account Debit Credit