Ch. 3 Homework Chapter 3-Homework (For one "chapter assignment" mark-need to show me your completed solution to start next class) QUESTION: The ledger of Timber Co as at Dec. 31, 2021 includes the following select account balances: Debit Credit Prepaid Insurance $3,600 Supplies $1,800 Building $100,000 Land $60,000 Notes Payable $90,000 Unearned Service Revenue $8,000 Timber Co's accountant is inexperienced and would like your help in preparing the adjusting entries for the year-end. All adjusting entries are completed once a year at the year-end date. The accountant has provided you with the following information: 1. A one-year insurance policy costing $3,600 was purchased on Dec. 1, 2021. At that time the full amount was debited to prepaid insurance. 2. A physical inventory count was completed on Dec. 31, 2021. The count revealed $800 in supplies were still remaining. 3. The building was purchased on January 1, 2021 at a cost of $100,000. The building has an expected useful life of 20 years. 4. The purchase of the building was financed by paying $10,000 in cash and the remaining balance was paid through taking on a 2-year, 8% interest note payable. Interest on the note will all be repaid at maturity. 5. The unearned service revenue relates to a client deposit paid on Dec. 15, 2021. At Dec. 31, 2021, one-quarter of this amount has been earned. Required: Prepare the adjusting journal entries required at December 31, 2021. > Complete the entries in proper journal entry format.