a) Record adjusting entries, as needed, for the additional information provided above.

b) Calculate the revised earnings for the period, reflecting the adjustments in requirement 1.

c) Record any reversing entries that are appropriate.

The trial balance for Computer Guru Consulting Ltd., on 31 December 20X2, for the 20X2 fiscal year. No adjustments have been made in 20X2 $ 11,200 18,400 as Accounts receivable Allowance for doubtful accounts 680 Inventory Equipment Accumulated depreciation, equipment Accounts payable Unearned revenue 98,500 156,300 25.300 78,620 12,510 93,000 39,610 95,050 Note payable Common s Retained earnings res 18,420 Sales 841,780 Cost of goods sold Wages 574.420 194,130 69,120 46,060 Operating expenses Sales salaries Other information a. The note payable had an interest rate of 6%. $49,000 was borrowed on 1 February, and the balance was borrowed on 1 June 20X2. No interest was paid in 20X2 b. An inventory count showed that goods with a cost of $87,380 were on hand at the end of the year C. Operating expenses include an insurance policy that was effective on 1 January 20X2 and runs for three years. The policy cost $5,280 d. An unpaid supplier invoice for heating oil for $3,520 has been recorded for $6,160 in error e. A customer paid a $8,800 down payment on a job in December, this amount was credited to unearned revenue. The job is about 50% complete but has not been finished or reviewed with the customer. The remaining $2,900 in unearned revenue is an advance from a customer, for a job that has been cancelled, this amount will be refunded to the customer shortly f. Depreciation on equipment has not yet been recorded. The equipment is three years old at the end of 20X2, and estimates of useful life and salvage value have not changed since it was acquired Depreciation is recorded on a straight-line basis g. A review of invoices sent to customers in January 20X3 showed that sales of $39,800 actually took place in December. These sales were connected with goods that cost $12,980. The product had been physically removed from inventory in December, and inventory and cost of sales were properly recorded in December. Sales were not recorded until January h. A review of invoices and payments in early January 20X3 showed some expenses that were related to December but not recorded until January: operating expenses, $5,500, and sales salaries, $4,060 i. A payment for business operating expenses was made by one of the shareholders in 20X2, and he then submitted the $12,110 invoice for payment. When he was reimbursed, the amount was debited to dividends . Accounts receivable were reviewed, and it was determined that $6,310 of accounts receivable are unlikely to be collected, although the company is still making collection attempts. (Percentage of accounts receivable method is used by the company)