Step 4: Journalize the necessary a. b. c. d. Supplies on hand on December 31 are $200. The company uses the straight-line method to depreciate the equipment. The estimated residual value is $200, and the estimated useful life is 5 years. The company uses the straight-line method to depreciate the furniture. The residual value is estimated to be $500, and the estimated useful life is 10 years. Record rent expired as of December 31, 20X5. Step 5: Post the adjusting entries in step 4 to the general ledger. Step 6: Prepare an adjusted trial balance for Boats & More, Inc. as of December 31, 20X5. Step 7: Prepare an Income Statement, Statement of Owner's Equity, and Balance Sheet for Boats & More, Inc. as of December 31, 20X5. Step 8: Journalize the closing entries for the month. Step 9: Post the closing entries in step 8 to the four-column general ledger. Step 10: Prepare a post-closing trial balance for Boats & More, Inc. as of December 31, 20X5.