The Blue Theater is nearing the end of the year and is preparing for a meeting with its bankers to discuss the renewal of a loan. The accounts listed below appeared in the December 31, 2025, trial balance. Debit Credit Prepaid Advertising Equipment $ 5.590 220,800 Accumulated Depreciation-Equipment Notes Payable Unearned Service Revenue $ 55,500 93,840 17,000 Ticket Revenue 346,300 Advertising Expense 18,660 Salaries and Wages Expense 67,400 Interest Expense 1,320 Additional information is available as follows. 1. 2. 3. The equipment has an estimated useful life of 16 years and a salvage value of $38,400 at the end of that time. Blue uses the straight-line method for depreciation. The note payable is a one-year note given to the bank January 31 and bearing interest at 10%. Interest is calculated on a monthly basis. Late in December 2025, the theater sold 340 coupon ticket books at $50 each. 180 of these ticket books have been used by year-end. The cash received was recorded as Unearned Service Revenue. 4. Advertising paid in advance was $5,590 and was debited to Prepaid Advertising. The company has used $2,630 of the advertising as of December 31, 2025. 5. Salaries and wages accrued but unpaid at December 31, 2025, were $3,280.