The following unadjusted trial balance is prepared at fiscal year-end for Nelson Company. NELSON COMPANY Unadjusted Trial Balance January 31, 2013 Debit Credit Cash $ 21,350 Merchandise inventory 14,000 Store supplies 5,800 Prepaid insurance 2,200 Store equipment 42,900 Accumulated depreciation—Store equipment $ 18,350 Accounts payable 17,000 J. Nelson, Capital 35,000 J. Nelson, Withdrawals 2,100 Sales 114,650 Sales discounts 2,000 Sales returns and allowances 2,150 Cost of goods sold 38,000 Depreciation expense—Store equipment 0 Salaries expense 31,000 Insurance expense 0 Rent expense 14,000 Store supplies expense 0 Advertising expense 9,500 Totals $ 185,000 $ 185,000 Rent expense and salaries expense are equally divided between selling activities and the general and administrative activities. Nelson Company uses a perpetual inventory system. a. Store supplies still available at fiscal year-end amount to $1,750. b. Expired insurance, an administrative expense, for the fiscal year is $1,550. c. Depreciation expense on store equipment, a selling expense, is $1,575 for the fiscal year. d. To estimate shrinkage, a physical count of ending merchandise inventory is taken. It shows $10,900 of inventory is still available at fiscal year-end.