The following events occurred for UPL Limited for the month of July 2020: Date 1 Jul Issued ordinary shares and received $300,000 cash. 2 Jul Purchased supplies $8,000 on account. 7 Jul Received $20,000 in advance from a client for services to be performed later. 10 Jul Paid cash for utilities expense of $2,600. 28 Jul Earned service revenue of $5,000 that was received in advance on 7 July. A physical count showed $2,000 of supplies on hand. Required: Prepare the above journal entries for the month of July 2020 for UPL Limited. (Narration is NOT required.) (12 marks) [Total marks for Question 1: 12 marks] Question 2 (48 marks) The following is the trial balance for Sunny Limited as at 30 September 2020: Sunny Limited Trial Balance as at 30 September 2020 Dr Cr $ $ 14,000 36,000 84,000 28,000 120,000 Supplies Accounts receivable Prepaid rent Cash Equipment Accumulated depreciation - equipment Accounts payable Utilities payable Share capital Retained earnings Dividends Service revenue Salary expense Rent expense Utilities expense Supplies expense 15,000 33,000 5,000 120,000 80,000 4,000 247,000 160,000 42,000 9,000 3,000 500,000 500,000 Additional information: (1) Accrued service revenue for September, $3,000. (2) The equipment has an expected useful life of 4 years. Depreciation had not been provided for the equipment for the month of September. (3) Salary of $3,500 for a part-time staff for the month of September will be paid in October