E4-15 Recording Adjusting Entries and Preparing an Adjusted Trial Balance [LO 4-2, 4-3] [The following information applies to the questions displayed below.] North Star prepared the following unadjusted trial balance at the end of its second year of operations ending December 31. Credit Debit $11,000 5,000 2,200 20,000 $ 1,200 1,200 Account Titles Cash Accounts Receivable Prepaid Rent Equipment Accumulated Depreciation Accounts Payable Income Tax Payable Common Stock Retained Earnings Sales Revenue Salaries and Wages Expense Utilities Expense Rent Expense Depreciation Expense Income Tax Expense Totals 23,800 1,100 46,400 24,000 11,500 0 $73,700 $73,700 Other data not yet recorded at December 31: a. Rent expired during the year, $1,100. b. Depreciation expense for the year, $1,200. c. Utilities used and unpaid, $8,000. d. Income tax expense, $290. Required: 1. Indicate the accounting equation effects of each required adjustment. (Enter any decreases to Assets, Liabilities, or Stockholders' Equity with a minus sign.) Transcation Assets Liabilities Stockholders' Equity b d. 2. Prepare the adjusting journal entries required at December 31. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.) View transaction list