P4-6 (Algo) Inferring Year-End Adjustments, Computing Earnings per Share and Total Asset Turnover, and Recording Closing Entries LO4-1, 4-3, 4-4 [The following information applies to the questions displayed below.) Ramirez Company is completing the information processing cycle at its fiscal year-end on December 31. Following are the correct balances at December 31 for the accounts both before and after the adjusting entries. Trial Balance, December 31 of the current Year Before Adjusting Entries Adjustments Items Debit Credit Debit a. Cash $ 13,800 b. Accounts receivable c. Prepaid insurance 480 d. Equipment 169, 780 e. Accumulated depreciation, equipment $ 40,500 f. Income taxes payable g. Common stock and additional paid-in capital 103,000 h. Retained earnings, January 1 22,040 i. Service revenue 73,900 j. Salary expense 55,380 k. Depreciation expense 1. Insurance expense m. Income tax expense $ 239,440 $ 239,440 Credit entries. Trial Balance, December 31 of the current Year Before Adjusting Entries Adjustments Debit Credit Debit Credit $ 13,800 480 169,780 $ 40,500 equipment al paid-in capital After Adjusting Entries Debit Credit $ 13,800 450 320 169, 780 $ 47,400 1,860 103,000 22,040 74,350 55,380 6,900 160 1,860 $ 248,650 $ 248,650 1 103,000 22,040 73,900 55,380 $ 239,440 $ 239,440 Required: 1. Compare the amounts in the columns before and after the adjusting entries to reconstruct the adjusting entries made in the current year. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet Record the adjusting journal entry related to revenue. Note: Enter debits before credits Transaction General Journal Debitt Credit Journal entry worksheet 1 2 3 3 4 > Record the adjusting journal entry related to insurance. Note: Enter debits refore credits. Transaction General Journal Debit Credit 2 Record entry Clear entry View general journal Journal entry worksheet Record the adjusting journal entry related to depreciation. Note: Enter debits before credits. General Journal Debit Credit Transaction 3 Record entry Clear entry View general journal Journal entry worksheet Record closing entry to transfer revenues and expenses to retained earnings. Note: Enter debits before credits. Transaction General Journal Debit Credit 1