Adjusting Entries The Wheel Place, Inc., began operations on March 1 to provide automotive wheel alignment and balancing services. On March 31, 2012, the unadjusted balances of the firm's accounts are as follows:

THE WHEEL PLACE, INC. Unadjusted Trial Balance March 31, 2012
		Debit		Credit
Cash		$1,900
Accounts Receivable		3,820
Prepaid Rent		4,770
Supplies		3,700
Equipment		36,000
Accounts Payable				2,330
Unearned Service Revenue				1,000
Common Stock				38,400
Service Revenue				12,360
Wages Expense		3,900
Totals		$54,090		$54,090

The following information is also available:

The balance in Prepaid Rent was the amount paid on March 1 for the first 3 months rent.

Supplies on hand on March 31 were $1,920.

The equipment, has an estimated life of 6 years.

Unpaid wages at March 31 were $650.

Utility services used during March were estimated at $390. A bill is expected early in April.

The balance in Unearned Service Revenue was the amount received on March 1 from a new car dealer to cover alignment and balancing services on all new cars sold by the dealer in March and April. The Wheel Place agreed to provide the services at a fixed fee of $570 each month.

Required Prepare the adjusting entries needed at March 31 in general journal form.

	General Journal
Date		Description	Ref.	Debit	Credit
March	31	AnswerAccounts PayableAccounts ReceivableAccumulated Depreciation-EquipmentCashCommon StockDepreciation Expense-EquipmentDividendsEquipmentFees ReceivablePrepaid RentRent ExpenseRetained EarningsService RevenueSuppliesSupplies ExpenseUnearned Service RevenueUtilities ExpenseUtilities PayableWages ExpenseWages Payable	(1)	$Answer	$Answer
		AnswerAccounts PayableAccounts ReceivableAccumulated Depreciation-EquipmentCashCommon StockDepreciation Expense-EquipmentDividendsEquipmentFees ReceivablePrepaid RentRent ExpenseRetained EarningsService RevenueSuppliesSupplies ExpenseUnearned Service RevenueUtilities ExpenseUtilities PayableWages ExpenseWages Payable		Answer	Answer
		To record March rent expense.
	31	AnswerAccounts PayableAccounts ReceivableAccumulated Depreciation-EquipmentCashCommon StockDepreciation Expense-EquipmentDividendsEquipmentFees ReceivablePrepaid RentRent ExpenseRetained EarningsService RevenueSuppliesSupplies ExpenseUnearned Service RevenueUtilities ExpenseUtilities PayableWages ExpenseWages Payable	(2)	Answer	Answer
		AnswerAccounts PayableAccounts ReceivableAccumulated Depreciation-EquipmentCashCommon StockDepreciation Expense-EquipmentDividendsEquipmentFees ReceivablePrepaid RentRent ExpenseRetained EarningsService RevenueSuppliesSupplies ExpenseUnearned Service RevenueUtilities ExpenseUtilities PayableWages ExpenseWages Payable		Answer	Answer
		To record March supplies expense.
	31	AnswerAccounts PayableAccounts ReceivableAccumulated Depreciation-EquipmentCashCommon StockDepreciation Expense-EquipmentDividendsEquipmentFees ReceivablePrepaid RentRent ExpenseRetained EarningsService RevenueSuppliesSupplies ExpenseUnearned Service RevenueUtilities ExpenseUtilities PayableWages ExpenseWages Payable	(3)	Answer	Answer
		AnswerAccounts PayableAccounts ReceivableAccumulated Depreciation-EquipmentCashCommon StockDepreciation Expense-EquipmentDividendsEquipmentFees ReceivablePrepaid RentRent ExpenseRetained EarningsService RevenueSuppliesSupplies ExpenseUnearned Service RevenueUtilities ExpenseUtilities PayableWages ExpenseWages Payable		Answer	Answer
		To record March depreciation.
	31	AnswerAccounts PayableAccounts ReceivableAccumulated Depreciation-EquipmentCashCommon StockDepreciation Expense-EquipmentDividendsEquipmentFees ReceivablePrepaid RentRent ExpenseRetained EarningsService RevenueSuppliesSupplies ExpenseUnearned Service RevenueUtilities ExpenseUtilities PayableWages ExpenseWages Payable	(4)	Answer	Answer
		AnswerAccounts PayableAccounts ReceivableAccumulated Depreciation-EquipmentCashCommon StockDepreciation Expense-EquipmentDividendsEquipmentFees ReceivablePrepaid RentRent ExpenseRetained EarningsService RevenueSuppliesSupplies ExpenseUnearned Service RevenueUtilities ExpenseUtilities PayableWages ExpenseWages Payable		Answer	Answer
		To record unpaid wages at March 31.
	31	AnswerAccounts PayableAccounts ReceivableAccumulated Depreciation-EquipmentCashCommon StockDepreciation Expense-EquipmentDividendsEquipmentFees ReceivablePrepaid RentRent ExpenseRetained EarningsService RevenueSuppliesSupplies ExpenseUnearned Service RevenueUtilities ExpenseUtilities PayableWages ExpenseWages Payable	(5)	Answer	Answer
		AnswerAccounts PayableAccounts ReceivableAccumulated Depreciation-EquipmentCashCommon StockDepreciation Expense-EquipmentDividendsEquipmentFees ReceivablePrepaid RentRent ExpenseRetained EarningsService RevenueSuppliesSupplies ExpenseUnearned Service RevenueUtilities ExpenseUtilities PayableWages ExpenseWages Payable		Answer	Answer
		To record estimated March utilities expense.
	31	AnswerAccounts PayableAccounts ReceivableAccumulated Depreciation-EquipmentCashCommon StockDepreciation Expense-EquipmentDividendsEquipmentFees ReceivablePrepaid RentRent ExpenseRetained EarningsService RevenueSuppliesSupplies ExpenseUnearned Service RevenueUtilities ExpenseUtilities PayableWages ExpenseWages Payable	(6)	Answer	Answer
		AnswerAccounts PayableAccounts ReceivableAccumulated Depreciation-EquipmentCashCommon StockDepreciation Expense-EquipmentDividendsEquipmentFees ReceivablePrepaid RentRent ExpenseRetained EarningsService RevenueSuppliesSupplies ExpenseUnearned Service RevenueUtilities ExpenseUtilities PayableWages ExpenseWages Payable		Answer	Answer
		To record portion of revenue received in advance that was earned in March.