[The following information applies to the questions displayed below.] Mint Cleaning Incorporated prepared the following unadjusted trial balance at the end of its second year of operations ending December 31. (Assume amounts are reported in thousands of dollars.) Account Titles Debit Credit Cash $ 53 Accounts Receivable 15 Prepaid Insurance Equipment Accumulated Depreciation $0 Accounts Payable 15 Salaries and Wages Payable 0 Income Tax Payable Common Stock Retained Earnings Sales Revenue Insurance Expense 0 Salaries and Wages Expense 25 Supplies Expense 41 Income Tax Expense 0 Totals $ 249 Other data not yet recorded at December 31: a. Insurance expired during the year, $3. b. Depreciation expense for the year, $2. c. Salaries and wages payable, $5. d. Income tax expense, $7. Required: 1. Prepare the adjusting journal entries for the year ended December 31. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field. Enter your answers in thousands of dollars.) 5 110 0 106 12 116 $ 249 View transaction list Journal entry worksheet 1 2 3 4 Record the entry for insurance expired during the year, $3. Note: Enter debits before credits. Transaction General Journal a Record entry Clear entry Debit Credit View general journal Required: 3. By what amount would net income have been understated or overstated had the adjusting journal entries not been recorded? (Enter your answers in thousands of dollars.) Net income by Required: Using the adjusted balances, prepare an income statement for the year ended December 31. (Enter your answers in thousands of dollars.) MINT CLEANING INCORPORATED Income Statement (in thousands of dollars) 0 0 Required: Using the adjusted balances, prepare a classified balance sheet for the year ended December 31. (Amounts to be deducted should be indicated by a minus sign. Enter your answers in thousands of dollars.) MINT CLEANING INCORPORATED Balance Sheet (in thousands of dollars) $ 0 $ 0 $ $ 0 OO 0 0