Bulls Inc. prepares adjusting entries and closes its books monthly. Selected balances from the January 31 adjusted trial balance are as follows: Debit Credit Prepaid Rent 5,400 Prepaid Insurance 1,440 Insurance Expense 1530 Accumulated Depreciation: Equipment 4,200 Service Revenue 4,000 Unearned Revenue 1,500 Determine: 1. Calculate the monthly rent expense given that 6 month's rent was prepaid on January 1 2. Calculate the 1/1 balance in the prepaid insurance account if the insurance expense on adjusted trial balance is the January 31 adjusting entry. No additional insurance was purchased in January. 3. If $3,100 cash was received in January for services performed in January, what was the balance in Unearned Service Revenue on January 1? No services were prepaid by customers in January and the company does not extend credit. Assume the following for Liana: Adjusted Trial Balance: Debit Credit Balance Accounts Receivable 24,000 16,000 8,000 Sales 21,000 21,000 Credit losses (bad debts expense) 900 900 Sales Returns 200 200 Allowance for Doubtful Accounts 500 1,200 700 Sales Discounts 150 150 Also known: all sales are on credit; no AR were reinstated; beginning Accounts Receivable was $3,000 Using T-accounts, give entries for: Credit sales Sales returns Write-off of receivables Credit losses (bad debts provision) Collection of receivables What was the beginning balance of Allowance for Doubtful Accounts? Give complete adjusting entries if know that adjusting entries included the following changes: Interest Receivable Unearned Revenue Prepaid Rent + $200 + $75 + $40 Utilities Payable Supplies + $150 - $12