At the end of April, the first month of operations, the following selected data were taken from the financial statements of Shelby Crawford, an attorney:

Net income for April	$120,000
Total assets at April 30	750,000
Total liabilities at April 30	300,000
Total stockholders equity at April 30	450,000

In preparing the financial statements, adjustments for the following data were overlooked:

	Supplies used during April, $2,750.
	Unbilled fees earned at April 30, $23,700.
	Depreciation of equipment for April, $1,800.
	Accrued wages at April 30, $1,400.

Required:

1.	Journalize the entries on April 30 to record the omitted adjustments. Refer to the Chart of Accounts for exact wording of account titles.
2.	Determine the correct amount of net income for April and the total assets, liabilities, and stockholders equity at April 30.

CHART OF ACCOUNTS

Shelby Crawford

General Ledger

	ASSETS
11	Cash
12	Accounts Receivable
13	Prepaid Insurance
14	Supplies
15	Land
16	Equipment
17	Accumulated Depreciation-Equipment

	LIABILITIES
21	Accounts Payable
22	Unearned Rent
23	Wages Payable

	EQUITY
31	Common Stock
32	Retained Earnings
33	Dividends

	REVENUE
41	Fees Earned
42	Rent Revenue

	EXPENSES
51	Wages Expense
52	Utilities Expense
53	Advertising Expense
54	Repairs Expense
56	Depreciation Expense
57	Insurance Expense
58	Supplies Expense
59	Miscellaneous Expense

1. Journalize the entries on April 30 to record the omitted adjustments. Refer to the Chart of Accounts for exact wording of account titles.

2. Determine the correct amount of net income for April and the total assets, liabilities, and stockholders equity at April 30. In addition to indicating the corrected amounts, indicate the effect of each omitted adjustment using the columnar table provided. Adjustment (a) is presented as an example. (Note: Use a minus sign (-) to indicate a decrease. If there is no amount or an amount is zero, enter "0".)

Corrected Amounts

1		Net Income	Total Assets =	Total Liabilities +	Total Stockholders Equity
2	Reported amounts	$120,000.00	$750,000.00	$300,000.00	$450,000.00
3	Corrections:
4	Supplies used	(2,750.00)	(2,750.00)	0.00	(2,750.00)
5	Unbilled fees earned
6	Equipment depreciation
7	Accrued wages
8	Corrected amounts