Century Realty's unadjusted trial balance on December 31, 1990, the end of its annual accounting period, is as follows:

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1. Set up accounts for the items in the trial balance plus these additional accounts: Accounts Receivable; Office Salaries Payable; Management Fees Earned; Insurance Expense; Office Supplies Expense; Depreciation Expense, Office Equipment; and Depreciation Expense, Automobile. Enter the trial balance amounts in the accounts.
2. Use the following information to prepare and post adjusting entries:

a. An examination of insurance policies shows \(\$ 775\) of expired insurance.

b. An inventory shows \(\$ 75\) of unused office supplies on hand.

c. Estimated annual depreciation on the office equipment is \(\$ 935\).

d. Estimated annual depreciation on the automobile is \(\$ 2,100\).

e. Century Realty offers property management services. On November 1, the company agreed to manage an office building for a client. The contract calls for a \(\$ 180\) monthly fee, and the client paid the first three months' fees in advance at the time the contract was signed. The amount paid was credited to the Unearned Management Fees account.

f. On October 15, the company agreed to manage an apartment building for \(\$ 120\) per month payable at the end of each three-month period. Fees for two and one half months have accrued.
\(g\). The one office employee is paid weekly; and on December 31, three days' wages at \(\$ 55\) per day have accrued.
3. After posting the adjusting entries, prepare an adjusted trial balance, an income statement, a statement of changes in owner's equity, and a classified balance sheet. Miller did not make additional investments in the business during the year.

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CENTURY REALTY Trial Balance December 31, 1990 Cash $ 2,500 Prepaid insurance. 2,100 Office supplies 555 Office equipment. 7,500 Accumulated depreciation, office equipment. $ 2,500 Automobile 15,350 Accumulated depreciation, automobile 3,000 Accounts payable. 275 Unearned management fees. 540 Don Miller, capital. Don Miller, withdrawals Sales commissions earned.. Office salaries expense Advertising expense. Rent expense. Telephone expense. Totals. 15,000 22,500 49,400 12,360 1,200 6,000 650 $70,715 $70,715