USE THE FOLLOWING INFORMATION TO ANSWER THE NEXT (5) QUESTIONS Magic Cleaning Services has a fiscal year end of December 31st. It is in its first year of operations. As of December 31, Magic has the following unadjusted trial balance Account Cash Accounts Receivable Supplies Building Accounts Payable Unearned Service Revenue Common Stock Retained Earnings Service Revenue Wage Expense Rent Expense Utilities Expense Debit $430,900 $158,000 $111,000 $ 90,000 Credit $ 45,900 $108,000 $100,000 0- $ 619,200 $ 48,600 $12,400 $6,200 $16,000 $ 873,100 TOTALS $ 873,100 In addition, Magic has not yet adjusted for the following I. The building was purchased on March 1 of the current year. It has a 30-year life, 10% salvage value and Magic uses the straight-line method for depreciation. 2. On September 1, Magic prepaid $12,400 for 10 months of rent on a warehouse. The original entry was recorded as Rent Expense 3, By December 31st, 30% of the of the services related to the Unearned Revenues had been performed. 4. Wages of $4,600 should be accrued and are scheduled to be paid on January 2. 5. Supplies of $98,000 were still on hand at year end 6. Based on industry averages, it is estimated that 3% of the accounts receivable will prove to be uncollectible