A) The ledger of KM Co., on March 31, 2021, includes these selected accounts before adjusting entries are prepared. Debit Credit Prepaid Insurance Supplies Equipment Accumulated Depreciation-Equipment Unearned Service Revenue $ 3,600 2,800 25,000 $5,000 9,200 An analysis of the accounts shows the following. 1. Insurance expires at the rate of $100 per month. 2. Supplies on hand total $800. 3. The equipment depreciates $200 a month. 4. During March, services were performed for one-half of the unearned service revenue. Prepare the adjusting entries for the month of March. Narratives are required. (16 marks) B) LKY Computer Services began operations on August 1, 2021. At the end of August 2021, management prepares monthly financial statements. The following information relates to August. 1. At August 31, the company owed its employees $800 in salaries and wages that will be paid on September 1. 2. On August 1, the company borrowed S30,000 from a local bank on a 15-year mortgage. The annual interest rate is 10%. 3. Revenue for services performed but unrecorded for August totaled $1,100. Prepare the adjusting entries needed at August 31, 2021.