Adjusting Entries and Preparation of Financial Statements Scott's Couriers Unadjusted Trial Balance as at 31 October 20x0 A/C Account Name Dr Cr 100 Cash 30400 110 Office Supplies 5000 112 Prepaid Insurance 1200 130 Office Equipment 10000 200 Accounts Payable 5000 213 Service Revenue Received in Advance 2400 230 Bank Loan 10000 300 Smith, Capital - 20000 320 Drawings 8000 400 Service Revenue 20000 500 Salaries Expense 1800 510 Rent Expense 1000 57400 57400 The trial balance for Scott's Couriers is shown above. The adjustment data at 31 October is: 1. Office supplies on hand at 31 October total $3,200. 2. Benefits of prepaid insurance of $200 have expired. 3. Depreciation for the month is $120. 4. Services performed in relation to cash received in advance total $600. 5. Services performed but not invoiced at 31 October total $1,400. 6. Interest accrued at 31 October is $160. 7. Accrued salaries at 31 October are $2,600. Required: The trial balance for Scott's Couriers is shown above. The adjustment data at 31 October is: 1. Office supplies on hand at 31 October total $3,200. 2. Benefits of prepaid insurance of $200 have expired. 3. Depreciation for the month is $120. 4. Services performed in relation to cash received in advance total $600. 5. Services performed but not invoiced at 31 October total $1,400. 6. Interest accrued at 31 October is $160. 7. Accrued salaries at 31 October are $2,600. Required: Answer Questions 1 and 2 below: 16 marks Question 1 Prepare the adjusting entries for these items. Workings: Question 2 a Prepare an Income Statement and a Statement of Changes in Equity for Scott's Couriers for month ended 31 October 20x0 and a classified Balance Sheet as at 31 October 20x0. Please enter your income statement and balance sheet in the following table