The following trial balance was taken from the books of Miller Corporation on December 31, 2010.

The following trial balance was taken from the books of Miller Corporation on December 31, 2010. (i) At year end, the following items have not yet been recorded. Prepare the necessary adjusting entries. a. Insurance expired during the year, $12,000. b. Estimated bad debts are $6, 800. c. Depreciation on furniture and equipment, 15% of cost per year. d. Interest at 5% is receivable on the note for one full year. e. Rent paid in advance as of December 31, $30,000 (originally charged to expense). f. Accrued salaries as of December 31, $8, 800. (ii) What is the income before taxes for the year? (iii). What will be the retained earnings on the balance sheet after closing entries for 2010