The following trial balance was taken from the books of Coyote Company as of December 31, 2019.

account	debit	credit
cash	30,000
accounts receivable	40,000
allowance for doubtful accounts		1,000
S-T notes receivable	20,000
Inventory, January 1, 2019	40,000
furniture and equipment	110,000
accumulated depreciation of F&E		20,000
patents	100,000
accounts payable		22,000
bonds payable		20,000
L-T notes payable		15.000
common stock		140,000
retained earnings		40,000
sales		550,000
purchase	278,000
insurance expense	20,000
salary expense	120,000
rent expense	50,000
totals	808,000	808,000

At the year end, the following items have not been recorded.

1. Prepaid insurance expired during the year, $8,000.
2. Estimated bad debts, 1.0% of sales.
3. Inventory as of 12/31/2019 turned out to be $60,000.
4. Five months rent of $50,000 was paid in advance on October 1, 2019 and charged to rent expense then.
5. Furniture and equipment have an average useful life of 4 years and salvage value of $10,000. Coyote Company uses the straight-line method of depreciation.
6. Utility bill of $1,600 for the month of December 2019 will be paid on its due date, January 10, 2020.
7. Salaries earned but not yet paid by December 31, 2019, $7,000.

Instruction: prepare

1. Any necessary adjusting entries at the end of 2019.
2. Income Statement and statement of retained earnings, and balance sheet of the company for the year 2019.
3. Any necessary closing entries at the end of 2019.