An analysis of WTI's insurance policies shows that $3,203 of coverage has expired An inventory count shows that teaching supplies costing $2,776 are available at year end Annual depreciation on the equipment is $12,814 Annual depreciation on the professional library is $6,407 On September 1, WTI agreed to do five courses for a client for $2,500 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 $12,500 cash in advance for all five courses on September 1, and WTI credited Unearned Training Fees 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, $9,500 of the tuition has been earned by WTI 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 The balance in the Prepaid Rent account represents rent for December WELLS TECHNICAL INSTITUTE Unadjusted Trial Balance December 31 Debit Credit Cash $ 27,849 Accounts receivable 0 Teaching supplies 10,710 Prepaid insurance 16,068 Prepaid rent 2,143 Professional library 32,133 Accumulated depreciationProfessional library $ 9,641 Equipment 96,000 Accumulated depreciationEquipment 17,139 Accounts payable 23,000 Salaries payable 0 Unearned training fees 12,500 Common stock 24,996 Retained earnings 79,000 Dividends 42,845 Tuition fees earned 109,254 Training fees earned 40,702 Depreciation expenseProfessional library 0 Depreciation expenseEquipment 0 Salaries expense 51,415 Insurance expense 0 Rent expense 23,573 Teaching supplies expense 0 Advertising expense 7,498 Utilities expense 5,998 Totals $ 316,232 $ 316,232 3 a Prepare Wells Technical Institute's income statement for the year 3 b Prepare Wells Technical Institute's statement of retained earnings for the year The Retained Earnings account balance was $79,000 on December 31 of the prior year 3 c Prepare Wells Technical Institute's balance sheet as of December 31

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An analysis of WTI's insurance policies shows that $3,203 of coverage has expired. An inventory count shows that teaching supplies costing $2,776 are available at

An analysis of WTI's insurance policies shows that $3,203 of coverage has expired.
An inventory count shows that teaching supplies costing $2,776 are available at year-end.
Annual depreciation on the equipment is $12,814.
Annual depreciation on the professional library is $6,407.
On September 1, WTI agreed to do five courses for a client for $2,500 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 $12,500 cash in advance for all five courses on September 1, and WTI credited Unearned Training Fees.
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, $9,500 of the tuition has been earned by WTI.
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.
The balance in the Prepaid Rent account represents rent for December.

WELLS TECHNICAL INSTITUTE Unadjusted Trial Balance December 31
	Debit		Credit
Cash	$	27,849
Accounts receivable		0
Teaching supplies		10,710
Prepaid insurance		16,068
Prepaid rent		2,143
Professional library		32,133
Accumulated depreciationProfessional library			$	9,641
Equipment		96,000
Accumulated depreciationEquipment				17,139
Accounts payable				23,000
Salaries payable				0
Unearned training fees				12,500
Common stock				24,996
Retained earnings				79,000
Dividends		42,845
Tuition fees earned				109,254
Training fees earned				40,702
Depreciation expenseProfessional library		0
Depreciation expenseEquipment		0
Salaries expense		51,415
Insurance expense		0
Rent expense		23,573
Teaching supplies expense		0
Advertising expense		7,498
Utilities expense		5,998
Totals	$	316,232	$	316,232

3-a. Prepare Wells Technical Institute's income statement for the year. 3-b. Prepare Wells Technical Institute's statement of retained earnings for the year. The Retained Earnings account balance was $79,000 on December 31 of the prior year. 3-c. Prepare Wells Technical Institute's balance sheet as of December 31.