Question 3: Presented below is the December 31 trial balance of Juno Beach Clothing, Inc. JUNO BEACH CLOTHING, INC. TRIAL BALANCE DECEMBER 31 Debit Credit $ 23,850 16,000 Cash Accounts Receivable Allowance for Doubtful Accounts Inventory, December 31 Prepaid Insurance Equipment Accumulated Depreciation-Equipment Notes Payable Accounts Payable Common Stock Retained Earnings Sales Revenue Cost of Goods Sold Salaries and Wages Expense (sales) Advertising Expense Salaries and Wages Expense (administrative) Supplies Expense $ 600 73,600 5,200 60,000 26,000 21,000 18,400 10,000 76,550 397,300 204,150 56,850 26,700 79,300 4,200 $549,850 $549,850 The books are closed yearly on December 31. Additional information is provided below: 1. Bad debt expense is estimated to be $1,600. 2. Equipment is depreciated based on a 8-year life (no salvage value) 3. Insurance expired during the year $3,650. 4. Interest accrued on notes payable $2,050. 5. Sales salaries and wages earned but not paid $2,750. 6. Advertising paid in advance $1,100, charged to Advertising Expense when purchased 7. Office supplies on hand $900, charged to Supplies Expense when purchased. Prepare an adjusted trial balance