Splish was founded in January 2013. Presented below are adjusted and unadjusted trial balances as of December 31, 2020. SPLISH TRIAL BALANCE DECEMBER 31, 2020 Unadjusted Adjusted Dr. Cr. Dr. Cr. Cash $ 15,000 $ 15,000 Accounts Receivable 19,500 23,700 Supplies 6,400 1,000 Prepaid Insurance 3,000 2,450 Equipment 69,000 69,000 Accumulated Depreciation—Equipment $ 33,000 $ 39,000 Accounts Payable 4,000 4,000 Interest Payable - 0- 270 Notes Payable 9,000 9,000 Unearned Service Revenue 6,200 4,900 Salaries and Wages Payable – 0– 1,300 Common Stock 17,000 17,000 Retained Earnings 7,000 7,000 Service Revenue 57,900 63,400 Salaries and Wages Expense 16,300 17,600 Insurance Expense 550 Interest Expense 300 570 Depreciation Expense 6,000 Supplies Expense 5,400 Rent Expense 4,600 4,600 $ 134,100 $ 134,100 $ 145,870 $ 145,870 (a) Journalize the annual adjusting entries that were made

Richardson hired j. c. flood company, a plumbing contractor, to correct a stoppage in the sewer line of her house. the plumbing company's 'snake' device, used to clear the line leading to the main sewer, became caught in the underground line. to release it, the company excavated a portion of the sewer line in richardson's backyard. in the process, the company discovered numerous leaks in a rusty, defective water pipe that ran parallel with the sewer line. to meet public regulations, the water pipe, of a type no longer approved for such service, had to be replaced either then or later, when the yard would have to be excavated again. the plumbing company proceeded to repair the water pipe. though richardson inspected the company's work daily and did not express any objection to the extra work involved in replacing the water pipe, she refused to pay any part of the total bill after the company completed the entire operation. j. c. flood company then sued richardson for the costs of labor and material it had furnished. (c) for what, if anything, should richardson be liable? explain."