a$.$ An analysis of LTI's insurance policies shows that $$2,550$ of coverage has expired.

b$.$ An inventory count shows that teaching supplies costing $$3,640$ are available at year$-$end.

c$.$ Annual depreciation on the equipment is $$4,200.$

d$.$ Annual depreciation on the professional library is $$7,800.$

e$.$ On November $1,$ LTI agreed to do a special six$-$month course $($starting immediately$)$ for a client. The contract calls for a monthly fee of $$2,600,$ and the client paid the first five months' fees in advance. When the cash was received, the Unearned Training Fees account was credited.

f$.$ On October $15,$ LTI agreed to teach a four$-$month class $($beginning immediately$)$ for hs executive with payment due at the end of the class. At December $31,$ $$3,000$ of the tuition has been earned by LTI.

g$.$ LTI's two employees are paid weekly. As of the end of the year, two days' salaries have accrued at the rate of $$220$ per day for each employee.

h$.$ The balance in the Prepaid Rent account represents rent for December.

Use the drop$-$downs to select the accounts properly included on the income statement. The unadjusted or adjusted balances will appear for each account, based on your selection.

Adjusted $$

Lewis Technical Institute

Income Statement

For Year Ended December $31,2022$