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Question 1 a. Blue Avenue Technology, executes adjusting entries every month, but closes its accounts only at Year-end. Company's year-end trial balance dated December 31, 2020, appears as below. (last updated on December 31, 2019) Blue Avenue Technology Trial Balance December 31, 2020 Particulars Debit ($) Credit ($) Cash in hand 203000 Cash at Bank 29000 8600 4500 Accounts Receivables Prepaid services Insurance Unexpired Material Purchased 7000 1000 20000 55000 1000 Equipment Rent Expense Insurance Expense Advertising Expense Interest Expense Income Tax Expense 800 800 10000 Dividends 8000 8700 5000 7500 5500 Notes Payables Accounts Payable Salaries Payable Income Tax Payable Unearned Revenue Capital Stock Retained Earnings Revenue Earned 9000 110000 48950 150000 $344650 $344650 Instructions: 1. Newly purchased equipment was required to be deprecated at 20% of its original cost of equipment yet unrecorded. (Set up appropriate accounts) 2. Revenue amounting $4,000 was not earned yet but was wrongly credited. 3. For the period $500 of interest was still unpaid till the date. 4. Paid $5000 to the employees who were unpaid during the period. 5. The prepaid services of $1500 were expired during the period. b. Prepare Adjusted Trial Balance and show all the necessary adjustments for the period ending on December 31, 2020. (05+05)