please answer the exercises that are highlighted and be very specific please. thanks

133.10 (L0 1, 2, 3, 4) FinanCial Statement The income Statement of Lundeen Co. for the month Prepare correct income statement. of July shows net income of $1,400 based on Service Revenue $5,500, Salaries and Wages Expense $2,300, Supplies Expense $1,200, and Utilities Expense $600. In reviewing the statement, you discover m the following. 1. Insurance expired during July of $500 was omitted. 2. Supplies expense includes $250 of supplies that are still on hand at July 31. 3. Depreciation on equipment of $150 was omitted. 4. Accrued but unpaid salaries and wages at July 31 of $400 were not included. 5. Services performed but unrecorded totaled $650. Instructions Prepare a correct income statement for July 2020. Prepare and post transaction and E3.15 (L0 2) Action Quest Games Co. adjusts its accounts annually. The following information is avail- adjusting entries for prepayments. able for the year ended December 31, 2020. 1. 2. 3. 4. 5. Instructions Purchased a 1-year insurance policy on June 1 for $1,800 cash. Paid $6,500 on August 31 for 5 months' rent in advance. On September 4, received $3,600 cash in advance from a company to sponsor a game each month for a total of 9 months for the most improved students at a local school. Signed a contract for cleaning services starting December 1 for $1,000 per month. Paid for the rst 2 months on November 30. (H int: Use the account Prepaid Cleaning to record prepayments.) On December 5, received $1,500 in advance from a gaming club. Determined that on December 31, $475 of these games had not yet been played. Exercises 3-47 a. For each of the above transactions, prepare the journal entry to record the initial transaction. I). For each of the above transactions, prepare the adjusting journal entry that is required on December 31, (Hint: Use the account Service Revenue for item 3 and Repairs and Maintenance Expense for item 4.) c. Post the journal entries in parts (a) and (b) to Taccounts and determine the nal balance in each account balance. (Note: Posting to the Cash account is not required.) Compute cash andaccrual E33 (L0 1) Carillo Industries collected $108,000 from customers in 2020. Of the amount collected, accounting income, $25,000 was for services performed in 2019. In addition, Carillo performed services worth $36,000 in 2020, which will not be collected until 2021. Carillo Industries also paid $72,000 for expenses in 2020. Of the amount paid, $30,000 was for expenses incurred on account in 2019. In addition, Carillo incurred $42,000 of expenses in 2020, which will not be paid until 2021. Exercises 3-43 Instructions a. Compute 2020 cash-basis net income. 13. Compute 2020 accrual-basis net income. E3.5 (LO 2, 3) Devin Wolf Company has the following balances in selected accounts on December 31, Prepare adjusting entries from 2020. selected data. Accounts Receivable $ -0- Accumulated Depreciation-Equipment - 0- Equipment 7,000 Interest Payable -0- Notes Payable 10,000 Prepaid Insurance 2,100 Salaries and Wages Payable -0- Supplies 2,450 Unearned Service Revenue 32,000 All the accounts have normal balances. The information below has been gathered at December 31, 2020. 1. Devin Wolf Company borrowed $10,000 by signing a 9%, one-year note on September 1, 2020. 2. A count of supplies on December 31, 2020, indicates that supplies of $900 are on hand. 3. Depreciation on the equipment for 2020 is $1,000. 4. Devin Wolf Company paid $2,100 for 12 months of insurance coverage on June 1, 2020. 5. On December 1, 2020, Devin Wolf collected $32,000 for consulting services to be performed from December 1, 2020, through March 31, 2021. 6. Devin Wolf performed consulting services for a client in December 2020. The client will be billed $4,200. 7. Devin Wolf Company pays its employees total salaries of $9,000 every Monday for the preceding 5-day week (Monday through Friday). On Monday, December 29, employees were paid for the week ending December 26. All employees worked the last 3 days of 2020. Instructions Prepare adjusting entries for the seven items described above.E3.6 (LO 2, 3, 4) Mendoza Company accumulates the following adjustment data at December 31. Identify types of adjustments and account relationships. 1. Services performed but unbilled total $3,000. 2. Supplies of $300 have been used. 3. Utility expenses of $552 are unpaid. 4. Services performed of $260 collected in advance. 5. Salaries of $800 are unpaid. 6. Prepaid insurance totaling $350 has expired. 3-44 CHAPTER3 AdjustingtheAccounts Instructions For each of the above items indicate the following. a. The type of adjustment (prepaid expense, unearned revenue, accrued revenue, or accrued expense). b. The status of accounts before adjustment (overstatement or understatement). E3.7 (L0 2, 3) The ledger of Passehl Rental Agency on March 31 of the current year includes the se- lected accounts, shown below, before adjusting entries have been prepared. Debit Credit Prepaid Insurance $ 3,600 Supplies 2,800 Equipment 25,000 Accumulated DepreciationEquipment $ 8,400 Notes Payable 20,000 Unearned Rent Revenue 10,200 Rent Revenue 60,000 Interest Expense 0 Salaries and Wages Expense 14,000 An analysis of the accounts shows the following. 1. The equipment depreciates $400 per month. 2. One-third of the unearned rent revenue was earned during the quarter. 3. Interest of $500 is accrued on the notes payable. 4. Supplies on hand total $750. 5. Insurance expires at the rate of $300 per month. Instructions Prepare the adjusting entries at March 31, assuming that adjusting entries are made quarterly. Addi- tional accounts are Depreciation Expense, Insurance Expense, Interest Payable, and Supplies Expense. Prepare adjusting entries. Prepare adjusting entries. E3.8 (L0 2, 3) Lorena Manzone, D.D.S., opened a dental practice on January 1, 2020. During the rst month of operations, the following transactions occurred. 1. S. Performed services for patients who had dental plan insurance. At January 31, $7 85 of such services were performed but not yet recorded. Utility expenses incurred but not paid prior to January 31 totaled $650. Purchased dental equipment on January 1 for $80,000, paying $30,000 in cash and signing a $50,000, 3-year note payable. The equipment depreciates $400 per month. Interest is $500 per month. Purchased a one-year malpractice insurance policy on January 1 for $24,000. Purchased $1,600 of dental supplies. On January 31, determined that $400 of supplies were on hand. Instructions Prepare the adjusting entries on January 31. Account titles are Accumulated DepreciationEquipment, Depreciation Expense, Service Revenue, Accounts Receivable, Insurance Expense, Interest Expense, Interest Payable, Prepaid Insurance, Supplies, Supplies Expense, Utilities Expense, and Utilities Payable. E3.9 (L0 2, 3) The trial balance for Pioneer Advertising is shown in Illustration 3.3. Instead of the ad- justing entries shown in the textbook at October 31, assume the following adjustment data. 1. 2. 3. 4. Supplies on hand at October 31 total $500. Expired insurance for the month is $120. Depreciation for the month is $50. Services related to unearned service revenue in October worth $600 were performed. Services performed but not recorded at October 31 are $360. Interest accrued at October 31 is $95. Accrued salaries at October 31 are $1,625. Instructions Prepare the adjusting entries for the items above