Whitegloves Janitorial Service was started 2 years ago by Jenna Olson. Because business has been exceptionally good, Jenna decided on July 1, 2022, to expand operations by acquiring an additional truck and hiring two more assistants. To finance the expansion, Jenna obtained on July 1, 2022, a $25,000,10% bank loan, payable $10,000 on July 1, 2023, and the balance on July 1, 2024. The terms of the loan require the borrower to have $10,000 more current assets than current liabilitics at December 31,2022 . If these terms are not met, the bank loan will be refinanced at 15% interest. At December 31, 2022, the accountant for Whitegloves Janitorial Service prepared the balance sheet shown below. Question 8 of 10 Whiriegroves Janilorialservice Balance Sheet December 31, 2022 Assets Liabilities and Owner's Equity Current assets Current liabilities Jenna presented the balance sheet to the bank's loan officer on January 2, 2023, confident that the company had met the terms of the Ioan. The loan officer was not impressed. She said, "We need financial statements audited by a CPA" A CPA was hired and inenediately realized that the balance sheet had been prepared from a trial balance and not from an adjusted trial balance. The adjustment data at the balance sheet date consisted of the following. 1. Unbilled janitorial services performed were $3,700. 2. Janitorial supplies on hand were $2.500. 3. Prepaid insurance was a 3year policy dated January 1,2022. 4. December expenses incurred but unpaid at December 31,$500. 5. Interest on the bank loan was not recorded. 6. The amounts for property, plant, and equipment presented in the balance sheet were reported net of accumulathd depreclation (cost iesr accumulated depreciation). These amounts were $4,000 for cleaning equigiment and 55,000 tor delivery trucks as of January 1,2022. Depreciation for 2022, still unrecorded, was $2.000 for cieaning equipment and \$5.000 for delivery trucks. Whitegloves Janitorial Service was started 2 years ago by Jenna Olson. Because business has been exceptionally good, Jenna decided on July 1, 2022, to expand operations by acquiring an additional truck and hiring two more assistants. To finance the expansion, Jenna obtained on July 1, 2022, a $25,000,10% bank loan, payable $10,000 on July 1, 2023, and the balance on July 1, 2024. The terms of the loan require the borrower to have $10,000 more current assets than current liabilitics at December 31,2022 . If these terms are not met, the bank loan will be refinanced at 15% interest. At December 31, 2022, the accountant for Whitegloves Janitorial Service prepared the balance sheet shown below. Question 8 of 10 Whiriegroves Janilorialservice Balance Sheet December 31, 2022 Assets Liabilities and Owner's Equity Current assets Current liabilities Jenna presented the balance sheet to the bank's loan officer on January 2, 2023, confident that the company had met the terms of the Ioan. The loan officer was not impressed. She said, "We need financial statements audited by a CPA" A CPA was hired and inenediately realized that the balance sheet had been prepared from a trial balance and not from an adjusted trial balance. The adjustment data at the balance sheet date consisted of the following. 1. Unbilled janitorial services performed were $3,700. 2. Janitorial supplies on hand were $2.500. 3. Prepaid insurance was a 3year policy dated January 1,2022. 4. December expenses incurred but unpaid at December 31,$500. 5. Interest on the bank loan was not recorded. 6. The amounts for property, plant, and equipment presented in the balance sheet were reported net of accumulathd depreclation (cost iesr accumulated depreciation). These amounts were $4,000 for cleaning equigiment and 55,000 tor delivery trucks as of January 1,2022. Depreciation for 2022, still unrecorded, was $2.000 for cieaning equipment and \$5.000 for delivery trucks