Problem 5-2 The Ellis Merchandising Firm's trial balance appears below. Ellis Merchandising Firm Trial Balance December 31, 20XX Cash Aamounts Receivable 29,000 85,000 50,000 1,500 7,000 19,000 Merchandise Inventory Supplies Prepaid Rent Equipment Accumulated Depreciation, Equipment Accounts Payable E Ellis, Capital E Ellis Withdrawals Sales Sales Returns & Allowances 2,400 70,000 35,000 5,900 210,000 10,000 90,000 Purchases Purchases Returns & Allowances Selling & Administrative 5,000 25,000 322,400 322,400 Required: 1. Enter the trial balance amounts on the worksheet and complete the worksheet using the following information: a) Ending merchandise inventory is $56,000. b) $5,000 of prepaid rent has expired. C) Ending supplies inventory is $800. d) Estimated depreciation 3. Prepare the closing entries. 4. Prepare adjusting entries 2. Prepare an Income Statement, Statement of Owner's Equity and Balance Sheet on equipment is $900