Schrand Services offers janitorial services on both a contract basis and an hourly basis. On January 1. 2008, Schrand collected \(\$ 20,100\) cash in advance on a six-month contract for work to be performed evenly during the next six months.

a. Prepare the entry on January 1 to reflect the receipt of \(\$ 20,100\) cash for contract work; use the financial statements effect template.

b. Adjust the appropriate accounts on January 31, 2008, for the contract work done during January; use the financial statements effect template.

c. At January 31 , a total of 30 hours of hourly rate janitor work was unbilled. The billing rate is \(\$ 19\) per hour. Prepare the accounting adjustment needed on January 31, 2008, using the financial statements effect template. (The firm uses the account Fees Receivable to reflect amounts due but not yet billed.)