NEW YORK BOUTIQUE TRIAL BALANCE 31-Dec Debit Credit 19000 32500 Cash Accounts Receivable Allowance for Doubtful Accounts Inventory, December 31 Prepaid Insurance Equipment Accumulated Depreciation-Equipment Notes Payable Common Stock Retained Earnings Sales Revenue Cost of Goods Sold Salaries and Wages Expense (sales) Advertising Expense Salaries and Wages Expense (administrative) Supplies Expense 1500 80500 5600 84500 35700 29000 81600 10500 601000 408500 50500 7200 65500 5500 759300-759300 a) Prepare adjusting journal entriws for the following and post to the T-accounts. Open additioal T-accounts if necessary. 1) Bad debt expense is estimated to be $1,400 2) Equipment is depreciated based on a 7-year life (no salvage value). 3) Insurance expired during the year $2,550. 4) Interest accrued on notes payable $3,360 5) Sales salaries and wages earned but not paid $2,400. 6) Advertising paid in advance $700. 7) Office supplies on hand $1,500, charged to Supplies Expense when purchased b) Prepare closing entries