Before year-end adjustments are made, the December 31, 2019trial balance of XYZs Adventures contains revenue of $10,000 and expenses of $8,700. Adjustments are necessary for the following items:

1. Depreciation for the year is $2,000.
2. Revenue earned but not yet billed is $5,300.
3. Accrued interest expense is $1,100.
4. Supplies used, $150.
5. Revenue collected in advance that is now earned is $9,000.
6. Portion of prepaid insurance expired during the year is $600.

Requirements:

1. Record the above adjusting entries in the Journal.[12 Marks]
2. Open One T-account and post to Service Revenue account ONLY, then compute its adjusted balance as on December 31,2019.[4 Marks]
3. Calculate the correct Net Income (Net Loss) for XYZs Adventures for the year ended Dec.31, 2019 (After adjustments). [4 Marks]