Adjusting Entries and Financial Statements The unadjusted trial balance for Mitchell Pharmacy appears below. The following information is available at year end for adjustments: An analysis of insurance policies indicates that $2, 180 of the prepaid insurance is coverage for 2014. Depreciation expense for 2013 is $10, 130. Four months' interest at 10% is owed but unrecorded and unpaid on the note payable. Wages of $4, 950 are owed but unpaid and unrecorded at December 31. Income taxes of $11, 370 are owed but unrecorded and unpaid at December 31. Prepare the adjusting entries. Prepare an income statement, a retained earnings statement, and a balance sheet using adjusted account balances