Vals Hair Emporium is a hair salon. Its December 31, 2020, unadjusted trial balance follows, along with information about selected accounts. Credit Account Name Cash Supplies Prepaid Rent Accounts Payable Debit $ 47,500 11,900 17,400 $ 3,400 Wages Payable 0 Further Information As reported on December 31 bank statement. Based on count, only $5,100 of supplies still exist. This amount was paid November 1 for rent through the end of January. This represents the total amount of bills received for supplies and utilities through December 15. Val estimates that the company has received $1,400 of utility services through December 31 for which it has not yet been billed. Stylists have not yet been paid $340 for their work on December 31. The company has paid last year's income taxes but not this year's taxes. This amount was contributed to the company in prior years. This is the balance reported at the end of last year. Customers pay cash when they receive services. This is the cost of stylist wages through December 30. This is the cost of utilities through December 15. This year's rent was $5,800 per month. This is the cost of supplies used through November 30. The company has an average tax rate of 30 percent. 0 3,900 4,700 189,800 Income Tax Payable Contributed Capital Retained Earnings Hair Styling Revenue Wages Expense Utilities Expense Rent Expense Supplies Expense Income Tax Expense 38,600 17,900 58,000 10,500 0 Totals $ 201,800 $ 201,800 Required: 1. Calculate the (preliminary) unadjusted net income for the year ended December 31, 2020. VAL'S HAIR EMPORIUM Unadjusted Income Statement For the Year Ended December 31, 2020 Expenses: Total expenses $ 0 2. Name the five pairs of balance sheet and income statement accounts that require adjustment. Balance Sheet Account Related Income Statement Account 3. Calculate the desired balances for each account listed in the unadjusted trial balance. VAL'S HAIR EMPORIUM Adjusted Trial Balance At December 31, 2020 Account Titles Debit Credit Totals $ 0 $ 0 4. Prepare the adjusting journal entries that are required at December 31, 2020. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list :X: 1 Record the supplies based on supplies count. > 2 Record the rent expense. 3 Record the wage expense. i 4 Record the amount of income tax. f Record the utilities expense. Credit 5-a. Calculate the adjusted net income that the company should report for the year ended December 31, 2020. VAL'S HAIR EMPORIUM Income Statement For the Year Ended December 31, 2020 Expenses: Total expenses 0 $ 0 5-b. By how much did the adjustments in requirement (4) cause net income to increase or decrease? Net income