13 wrt 2 of 3 eBook + www References Required m Problem 3-3A (Algo) Preparing adjusting entries, adjusted trial balance, and financial statements LO P1, P2, P3, P4, P5 [The following information applies to the questions displayed below] Wells Technical Institute (WT) provides training to individuals who pay tuition directly to the school. WTI also offers training to groups in off-site locations. WTI initially records prepaid expenses and unearned revenues in balance sheet accounts. Its unadjusted trial balance as of December 31 follows, along with descriptions of items a through h that require adjusting entries on December 31. Additional Information Items a. An analysis of WTr's insurance policies shows that $3,335 of coverage has expired. b. An inventory count shows that teaching supplies costing $2.891 are available at year-end. c. Annual depreciation on the equipment is $13,342. d. Annual depreciation on the professional library is $6,671. e. On September 1, WTI agreed to do five training courses for a client for $2,200 each. Two courses will start immediately and finish before the end of the year. Three courses will not begin until next year. The client paid $11,000 cash in advance for all five training courses on September 1, and WTI credited Unearned Revenue. f. On October 15, WTI agreed to teach a four-month class (beginning immediately) for an executive with payment due at the end of the class. At December 31, $10,903 of the tuition revenue has been earned by WTL g. WTI's two employees are paid weekly. As of the end of the year, two days' salaries have accrued at the rate of $100 per day for each employee. h. The balance in the Prepaid Rent account represents rent for December. MELLS TECHNICAL INSTITUTE Unadjusted Trial Balance December 31 Help Save & Exit Check my WELLS TECHNICAL INSTITUTE Unadjusted Trial Balance December 31 Debit Credit Cash Accounts receivable Teaching supplies $ 27,094 0 10,420 Prepaid insurance 15,632 Prepaid rent 2,085 Professional library 31,262 Accumulated depreciation-Professional library $ 9,380 Equipment 105,000 Accumulated depreciation-Equipment 16,675 Accounts payable. 25,be Salaries payable Unearned revenue Common stock 11,000 35,318 Retained earnings 76,000 Dividends 41,684 Tuition revenue 106,2931 Training revenue 39,599 Depreciation expense-Professional library Depreciation expense-Equipment Salaries expense 50,022 Insurance expense Rent expense 22,935 Teaching supplies expense Advertising expense Utilities expense Totals 0 7,295 5,836 $ 319,265 $319,265 Problem 3-3A (Algo) Part 2 2-a. Post the balance from the unadjusted trial balance and the adjusting entries into the T-accounts. 2-b. Prepare an adjusted trial balance. Complete this question by entering yoUE DEWO