Adjustment (1) data: 1. The remaining supplies at December 31 are $2,000. 2. The insurance policy was purchased on December 1 for one year. 3. The expired rent for the month is $200. 4. The equipment is depreciated at the rate of $1,500 per month. The notes payable represent a 3-month 10% note that was signed on December 1. 6. $2,600 of the unearned service revenue has been earned at the end of December. 7. Salaries of $2,000 are accrued at December 31. 8. Invoices representing $2,000 of services performed during December have not been recorded as of December 31. Instructions: 1. Journalize the adjusting entries for David Advertising at December 31. 2. If the adjustment were not made. Indicate the effect on net income, assets and liabilities. (Overstated, understated or N/A) 3. Post the adjusting entries. 4. Prepare an adjusted trial balance. Assignment (2) After preparing the adjusting entries (given earlier), posting them preparing an adjusted trial balance. Adjustment (1) data: 1. The remaining supplies at December 31 are $2,000. 2. The insurance policy was purchased on December 1 for one year. 3. The expired rent for the month is $200. 4. The equipment is depreciated at the rate of $1,500 per month. The notes payable represent a 3-month 10% note that was signed on December 1. 6. $2,600 of the unearned service revenue has been earned at the end of December. 7. Salaries of $2,000 are accrued at December 31. 8. Invoices representing $2,000 of services performed during December have not been recorded as of December 31. Instructions: 1. Journalize the adjusting entries for David Advertising at December 31. 2. If the adjustment were not made. Indicate the effect on net income, assets and liabilities. (Overstated, understated or N/A) 3. Post the adjusting entries. 4. Prepare an adjusted trial balance. Assignment (2) After preparing the adjusting entries (given earlier), posting them preparing an adjusted trial balance