Adjustment worksheet:

Ending inventory of office supplies was $2,200

Depreciation expense is 5% of cost of equipment

Just prior to this month, the firm signed a prepaid lease for $8,000 and the lease is good for 20 months of rent

$500 of prepaid insurance expired this month

An accrual for wages payable at the end of the month was made for $300

Half of the unearned revenue is still unearned

\begin{tabular}{|l|r|r|} \hline Insurance Expense & 0 & \\ \hline Totals & 83220 & 83220 \\ \hline \end{tabular} Net Income