Comment on changes to Nafooz Company's profitability, liquidity, and solvency. The Boston Trading Company, whose accounting year ends on December 31, had the following normal balances in its general ledger at December 31: During the year, the accounting department prepared monthly statements but no adjusting entries were made in the journals and ledgers. Data for the year end procedures are as follows: 1. Prepaid insurance, December 31, was $1, 500 2. Depreciation expense on furniture and fixtures for the year was $2,000 3. Depreciation expense on delivery equipment for the year was $11,000 4. Salaries payable, December 31, ($1, 800 sales and $1, 200 office) was $3,000 5. Unused office supplies on December 31 were $1, 200 a. Record the necessary adjusting entries at December 31. b. Prepare a multi-step income statement for the year. Combine all the operating expenses into one line on the income statement for selling, general and administrative expenses