Problem 4 On October 15, 2020, PIRATE KING Company received P100,000 from FLEET ADMIRAL Company for services to be rendered at some future date. At the end of 2020, PIRATE KING Company already rendered services amounting to P30,000. The PIRATE KING Company prepares its annual financial statements every December 31. Requirements in the books of PIRATE KING Company: 1. Prepare the entry to be made on October 15, 2020. (Compare entries using LIABILITY versus INCOME Method) 2. What is the amount of unearned service income at the end of 2020? 3. Prepare adjusting entry at the end of 2020. (Compare entries using LIABILITY versus INCOME Method) 4. Prepare reversing entries. (Compare entries using LIABILITY versus INCOME Method)