On June 1, 2021, Ruri Kana, a lawyer, opened her own legal practice to be known as Ruri and Associates. The business adjusts its accounts at the end of each month. The following unadjusted trial balance was prepared on June, 30 2021 after one month of operation.

Ruri and Associates

Unadjusted Trial Balance

As at June 30, 2021

Legal fees receivable

Unexpired insurance 300,000

Prepaid office rent 480,000

Office supplies 146,000

Office equipment 2,640,000

Accumulated depreciation: Office equipment

Notes payable 1,600,000

Interest payable

Salaries payable

Unearned retainer fees 1,602,000

Ruri, capital 2,000,000

Ruri, drawing 400,000

Legal fees earned 158,000

Salaries expense 268,000

Miscellaneous expense 120,000

Office rent expense

Office supplies expense

Depreciation expense: office equipment

Interest expense

Insurance expense

5,360,00/ 5,360,000

Additional Information

1. No interest has yet been paid on note payable. Accrued interest on the note payable not yet paid nor recorded at June 30,2021 amounted to sh18,000.

2. Salaries earned by the office staff but not yet recorded or paid amounted to sh.347,000 at June 30,2021.

3. Many clients are asked to make an advance payment for the legal services to be rendered in future months. These advance payments are credited to the Unearned retainer fees account. During June, Sh.770,000 of these advances were earned by the business.

4. Some clients are not billed until all services relating to their matter have been rendered. As of June 30, 2021, services priced at Sh.478,000 had been rendered to these clients but had not yet been recorded in the accounting records.

5. A professional liability insurance policy was purchased on June 1, 2021. The premium of Sh.300,000 for the first six months was paid and recorded as Unexpired insurance.

6. The business rents an office at a monthly rate of Sh.160,000. On June 1, 2021, three months' rent was paid in advance and charged to the Prepaid office rent account

7. Office supplies on hand at June 30, 2021 amounted to Sh.110,000

8. Office equipment was purchased on June 1, 2021 and is being depreciated over an estimated useful life of 10 years.

Required:

a) Prepare the adjusting entries required at June 30, 2021

b) Post the above adjusting entries to the ledger

c) Extract the adjusted trial balance as at June 30, 2021

d) Prepare the Statement of Income for Ruri and Associates for the period ended June 30, 2021

e) Prepare the Statement of Changes in Owner's Equity for Ruri and Associates for the period ended June 30, 2021

f) Prepare the Statement of Financial Position for Ruri and Associates as at June 30,2021.