Be careful--files from the Internet can contain viruses. Unless you need to edit it's safer to stay in Protected View. A5 Enable Editing { B D E G H K 6 . C 1 Accounting Adjustments 2 Practice Quiz 3 4 The following are selected balances before adjustment at December 31, 2018: 5 Debit Credit 7 8 A/R $ 75,000 9 Equipment 250,000 10 Accumulated Depreciation- 11 Equipment $ 12,000 12 Prepaid Rent 12,000 13 Supplies 3,170 14 Wages Payable 15 Unearned Fees 10,000 16 Fees Earned 400,000 17 Wage Expense 140,000 18 Rent Expenes 19 Supplies Expense 20 Depreciation Expense 21 22 Journalize the year end adjustments using the information below: 23 24 1. Supplies on hand at December 31, $550. 25 2. The equipment has a useful life of 10 years and is depreciated on a straight- 26 line basis with no residual value. 27 3. Twelve months of rent was prepaid on July 1. 28 4. Wages are paid weelky on Friday. Wages to be paid on January 2 are $2,500 29 for the 5-day workweek. 30 5. Of the unearned fees, 65% was earned as of December 31. 31 6. Unbilled fees for services performed as of December 31 were $7,200. 32 33 A. What was the net effect on Net Income of the above adjustments? 34 B. Assume adjustment #3 above was omitted. What is the effect on Assets, Liabilities, 35 Stockholder's Equity, Revenue and Expense? 36 37 28