Assignment Print View 2/2/2020 financial statements LO P1, P2, P3 Problem 3-3A Preparing adiusting entries adiusted trial balance and financial State The following information applies to the questions played below! Wolls Technical Institute (WTI), a school owned by Tristan Weeks provides training to individuals who pay to offers training to groups in off-site locations. Its unadiusted trial balance as of December 31, 2017, follows. Wince and unearned revenues in balance sheet accounts. Descriptions of items a through that require adjusting erines Additional Information Items who pay tuition directly to the school. WTI also 17. follows. WTI initially records prepaid expenses djusting entries on December 31, 2017, follow a An analysis of WTTS insurance policies shows that $3.864 of coverage has expired. b. An inventory count shows that teaching supplies conting $3,349 are available at year end 2017 C Annual depreciation on the equipment is $15,458. d Annual depreciation on the professional library is $7,729. thly fee of $2.900. bert Wil agreed to do a special six-month Course (starting immediate for a client. The contract calls for a monthly fee : and the client paid the first five months' fees in advance. When the cash was recelved, the Uneamed Training Fees account was creo fee for the sixth month will be recorded when it is collected in 2018 t On October 15, WTI agreed to teach a four-month class beginning immediately for an individual for $4,700 tuition per month payable at we end of the class. The class started on October 15, but no payment has yet been received, IWTT's accruals are applied to the nearest halt mon for example, October recognizes one half month accrual.) g Wis two employees are paid wekly. 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 Uradjusted Trial Balance December 31, 2017 ving Debit Credit $ 27396 -101536 WA 210B 31,610 $ 9,494 73.751 16.851 35.022 Cash Accounts receivable Teaching supplies Read instance Prepaid rent Professional library Accumulated depreciation Professional library Equipment Accumulated depreciation Equipment Accounts payable Salaries payable Uneamed training fees Common stock Retained earnings Dividends Tuition fees earned Training fees eamed Depreciation expense-Professional library Depreciation expense-Equipment Salaries expense Insurance expense Rent expense Teaching supplies expense rtising expense Utilities expense Totals 14.500 15,000 52,016 42,349 107,477-O 401040 50,579 23,188 A 73760 5,901 $ 290,400 $290,400 References Section Break Problem 3-3A Preparing adjusting entries, adjusted trial balance, and financial statements LO P1, P2, P3 27.395 31.610 73.751 35.022 Cash Accounts receivable Teaching supplies Prepaid insurance Prepaid rent Professional library Accumulated depreciation Professional library Equipment Accumulated depreciation Equipment Accounts payable Salaries payable Uneaned training fees Common stock Retained earnings Dividends Tuition fees earned Training fees earned Depreciation expense Professional library Depreciation expense-Equipment Salaries expense Insurance expense Rent expense Teaching supplies expense Advertising expense Utilities expense 15.000 52.010 7.3787 5.001 188. 133S Totals 102.033 Red 2A Required Information Problem 3-3A Preparing adjusting entries, adjusted trial balance, and financial statements LO P1, P2, P3 [The following information applies to the questions displayed below) Wells Technical Institute (WTI), a school owned by Tristana Wells, provides training to individuals who pay tuition directly to the school WTI also offers training to groups in off-site locations. Its unadjusted trial balance as of December 31, 2017 follows. WTI initially records prepaid expenses and unearned revenues in balance sheet accounts. Descriptions of items a through h that require adjusting entries on December 31, 2017, follow. Additional Information Items a. An analysis of WTI's insurance policies shows that $3,864 of coverage has expired. b. An inventory count shows that teaching supplies costing $3.349 are available at year end 2017 c. Annual depreciation on the equipment is $15.458 d. Annual depreciation on the professional library is $7,729 e. On November 1. WTI agreed to do a special six-month course (starting immediately for a client. The contract calls for a monthly fee of $2.900, and the client paid the first five months fees in advance. When the cash was received, the Unearned Training Fees account was credited. The fee for the sixth month will be recorded when it is collected in 2018 1. On October 15, WTI agreed to teach a four-month class (beginning immediately for an individuel for $4.700 tuition per month payable at the end of the class. The class started on October 15, but no payment has yet been received. (WTIS accruals are applied to the nearest half-month, for example, October recognizes one-half month accrual) Q. WTTS 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. h. The balance in the Prepaid Rent account represents rent for December HELLS TOWICAL INSTITUTE Unadjusted Trial Galance December 31, 2012 Prev 3 of 12 Next > WELLS TECHNICAL INSTITUTE Unadjusted Trial Balance December 31, 2017 Debit 27, 396 10,536 15,806 2,108 31,610 $ 9,484 73,751 16,861 35,922 Cash Accounts receivable Teaching supplies Prepaid insurance Prepaid rent Professional library Accumulated depreciation Professional library Equipment Accumulated depreciation Equipment Accounts payable Salaries payable Unearned training fees Common stock Retained earnings Dividends Tuition fees earned Training fees earned Depreciation expense Professional library Depreciation expense-Equipment Salaries expense Insurance expense Rent expense Teaching supplies expense Advertising expense Utilities expense Totals 14, Sea 15, eee 52,816 187,477 40, 4e 50,579 23,188 376 5. sez $ 299.40 $298.4ea