QUESTION 12 Simply Sewing, Inc. had the following account ba er 31 . Retained Earnings, January 1 $50.000 . Supplies 8,000 Unearned Sewing Revenue5,000 e . Prepaid Rent 2,000 Prepare the following adjusting journal entries for the year end December 31 a) A phys b) The company earned $2,000 of the sewing work that was paid for in advance. c) The prepaid rent listed above was paid for by the company on June 1 and represents one year of rent. it has not been adjusted since it was paid on June 1. Prepare the journal entry to adjust the Prepaid Rent account to the correct amount as of December 31. supplies at December 31 shows the ba nd is $3,000. Write journal entries in proper journal entry format. Do not abbreviate when writing journal entries and make sure you identify which line is the Debit (DR) and which line is a Credit (CR) using one of the following two examples.) Example 1: DR Cash 4,000 CR Revenue 4,000 OR Debit Credit Example 2: Cash 4,000 Revenue 4,000 OR Example 3: Debit Cash 4,000 and Credit Revenue 4,000