On 12-31-2020, the following balances were extracted from the books of Al-Ala Trading Company, which started its commercial activities at the beginning of the year 2020.

70000

80000

12000

buildings

accounts receivable

Insurance expense

arrest papers

Prepaid rent

box

500

6000

70000

After the inventory, it was found that: 1- Buildings depreciate at a rate of 1% annually

2- Bad debts were estimated at 4% of receivables 3- Spent insurance during the year at a value of 2000 dinars 4- Receipts bearing interest at 10% annually and they are issued on 01/01/2020 5- The rent paid in advance represents the rent of 4 years from the date of 1-1-2020 20

Required:

Write down the necessary inventory adjustment entries for 12-31-2020