LMN Corp. has the following account balances on June 30, 2024:

Account	Amount
Cash	$18,000
Accounts Receivable	$12,000
Inventory	$20,000
Prepaid Rent	$3,000
Furniture	$30,000
Accumulated Depreciation	$6,000
Accounts Payable	$12,000
Wages Payable	$5,000
Long-Term Debt	$10,000
Common Stock	$25,000
Retained Earnings	$25,000

Requirements:

1. Prepare an unclassified balance sheet.
2. Compute the debt-to-equity ratio.
3. Evaluate the company's financial leverage.
4. Prepare adjusting entries for:
   • Depreciation expense: $3,000
   • Rent expense: $1,500
5. Explain the role of depreciation in accounting.