Answers A-H

And questions 1-4 please

134 Chapter 3 Adjusting Accounts and Preparing Financial Stetements a. An analysis of WTI's insurance policies shows that $2,400 of coverage has expired b. An imvensory count shows that teaching supplies costing $2.800 are available at year end 20us Additional Information Items . Annual depreciation on the equipment is $13,200 d. Annual depreciation on the professional library is $7,200 e. On November I, WTI agreed to do a special six-month course (starting immediately) for a cli When the cash was received, the Uncarned Training Fees account was credited. The fee for th month will be recorded when it is collected in 2016 contract calls for a monthly fee of $2.500, and the client paid the first five months feesn October IS, WTI agreed to teach a four-month class (beginning immediately) for an ind $3,000 in f. On ment has yet been received. (WTI's accruals are applied to the nearest half-month; for examn October tuition per month payable at the end of the class. The class started on O tober 15, bu? recognizes one-half month accrual.) 9. WTIs two employes are paid wockly, As of the end of the year, two days salaries have accrued at to h. The balance in the Prepaid Rent account represents rent for December mployees are paid weckly. As of the end of the year, two days' salaries have ac rate of $100 per day for each employee. WELLS TECHNICAL INSTITUTE Unadjusted Trial Balance December 31, 2015 Cash Teaching supplies Prepaid rent $ 34,000 4Accounts recelvable 8,000 12,000 3,000 Professional ibrary 10,000 80,000 Accumulated depreciation-Equipment Accounts payable Salaries payable Unearned training fees T. Wells, Capital 15,000 26,000 T. Wells, Withdrawals 12,500 90,000 50,000 Tuition fees eaned Training fees earned Depreciation expense-Professional library Depreciation expense-Equipment 123,900 40,000 Salaries expense 50,000 33,000 6,000 Insurance expense Teaching supplies expense expense 7 Totals 6,400 S 317,400 k (2el Cr. T armed $5,000,(2n Cr 2. Prepare the necessary adjusting journal entries for items a through h and post them to the T-accounts Fees Earned, $7500 1. Prepare Taccounts (representing the ledger) with balances from the unadjusted trial balance. Assume that adjusting entries are made only at year-end. tral balarice totals 00, 14) Net income nding T Wels.4. Prepare Wells Technical Institute's income statement and statement of owner's equity for the year 89.600 3. Update balances in the T-accounts for the adjusting entries and prepare an adjusted trial balance. 2015 and prepare its balance sheet as of December 31, 2015