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1 2 3. 4. 5. Services performed for customers through February 27, 2022, but unbilled and uncollected were $2,810 Received notice that a customer who was billed $150 for services performed February 10 has filed for bankruptcy, Kingbird Cleaning Services does not expect to collect any portion of this outstanding receivable. Kingbird Cleaning Services uses the allowance method to estimate bad debts, Kingbird Cleaning Services estimates that: of its month-end receivables will not be collected. Record 1 month of depreciation for the floor equipment. Use the straight-line method, an estimated life of 4 years, and $370 salvage value. Record 1 month of insurance expense. An inventory count shows $300 of supplies on hand at February 28, One week of services were performed for the customer who paid in advance on February 17. Accrue for wages owed through February 28, 2022 Accrue for interest expense for 1 month. Karen estimates a 20% income tax rate. (Hint: Prepare an income statement up to "income before taxes" to help with the income tax calculation) 6. 7 B. 9 10. 1. Accounts Receivable 2,810 Service Revenue 2.810 2. Allowance for Doubtful Accounts 150 Accounts Receivable 150 3. Bad Debt Expense 356 Allowance for Doubtful Accounts 356 4. Depreciation Expense Accumulated Depreciation Equipment 67 5. Insurance Expense 607 Prepaid insurance 607 6. Supplies Expense 430 6. Supplies Expense 430 Supplies 430 7 Unearned Service Revenue Service Revenue 99 8. Salaries and Wages Expense 1.440 Salaries and Wages Payable 1.440 9. 30 Interest Expense 30 interest Payable 566 10. Income Tax Expense 566 Income Taxes Payable Cash 2/1 9,620 2/1 6,670 2/1 5.920 2/1 160 2/5 2.920 2/5 1,820 2/17 396 2/10 220 2/25 1,850 2/20 660 2/24 2,880 2/27 160 2/28 522 2/28 Bal. 7,614 21.66/50 I!! Accounts Receivable 2/16 2.890 2/25 1.850 2/23 3.180 2/28 150 2/28 2810 2/28 Bal. 68.80 Supplies 2/3 730 2/28 430 2/28 Bal 300 II. Prepaid Insurance 2/5 1,820 2/28 607 1213 Prepaid Expenses 2/27 160 2/28 Bal 160 Allowance for Doubtful Accounts 2/28 150 2/25 356 2/28 Bal 206 Equipment 2/1 6,670 2/5 3,100 2/28 Bal 3520 Accumulated Depreciation - Equipment Question 1 of 1 21.66/50 Accumulated Depreciation - Equipment 2/20 67 17 Accounts Payable 2/18 220 2/3 730 2/28 510 Notes Payable 2/1 5.920 2/28 lat 5020 Salaries and Wages Payable 2/20 1440 Salaries and Wages Payable 2/28 1440 1440 Interest Payable 22 30 30 Income Taxes Payable 27/28 So 228 Bat 566 Unearned Service Revenue 2/28 99 2/17 396 2/28 lat 202 Common Stock 2/1 5.550 28 5550 Paid in Capital in Excess of Par 2/1 4,070 2/28 al Cash Dividends 2/28 522 Treasury Stock 2/20 660 2/2 000 Service Revenue