1. Adjusting Entries: Minnie Smile, D.D.S. opened a dental practice on January 1, 201X. During the first month of operations the following transactions occurred: performed services for patients who had dental plan insurance. At January 31, $850 of such services was earned but not yet billed to the insurance companies. Utility expenses incurred but not paid prior to January 31 totaled $520. Purchased a one year malpractice insurance policy on January 1 for $12,000. Prepare the adjusting entries on January 31. Omit explanations. For each journal entry write Dr. for debit and Cr. for credit.

2.The adjusted trial balance of Cavamanlis Co. as of December 31, 2011 contains the following.

Account Titles	Dr	Cr
Cash	$18,972
Accounts Receivable	6,920
Prepaid Rent	4,280
Equipment	20,050
Accumulated Depreciation		$5,895
Notes Payable		5,700
Accounts Payable		4,472
Common Stock		20,000
Retained Earnings		15,310
Dividends	4,000
Service Revenue		12,590
Salaries Expense	6,840
Rent Expense	2,760
Depreciation Expense	145
Interest Expense	83
Interest Payable		83
	$64,050	$64,050

Instructions: Prepare in good form a balance sheet for the year ended December 31, 2011