Problem 12.1A (Algo) Recording adjustments for accrued and prepaid items and unearned income. LO 12-2, 12-3 a.-b. Merchandise Inventory, before adjustment, has a balance of $8,100. The newly counted inventory balance is $8,600. C. Unearned Seminar Fees has a balance of $6,600, representing prepayment by customers for five seminars to be conducted in June, July, and August 20X1. Two seminars had been conducted by June 30, 20X1. d. Prepaid Insurance has a balance of $15,600 for six months' insurance paid in advance on May 1, 20X1. e. Store equipment costing $8,360 was purchased on March 31, 20X1. It has a salvage value of $560 and a useful life of five years. f. Employees have earned $310 that has not been paid at June 30, 20X1. g. The employer owes the following taxes on wages not paid at June 30, 20X1: SUTA, $9.30; FUTA, $1.86; Medicare, $4.50; and social security, $19.22. h. Management estimates uncollectible accounts expense at 1 percent of sales. This year's sales were $2,600,000. i. Prepaid Rent has a balance of $7,500 for six months' rent paid in advance on March 1, 20X1. j. The Supplies account in the general ledger has a balance of $460. A count of supplies on hand at June 30, 20X1, indicated $180 of supplies remain. k. The company borrowed $8,400 from Second Bancorp on June 1, 20X1, and issued a four-month note. The note bears interest at 9 percent. Required: Based on the information above, record the adjusting journal entries that must be made for Sufen Consulting on June 30, 20X1. The company has a June 30 fiscal year-end