EX 3-1:

Classify the following items as (a) accrued revenue, (b) accrued expense, (c) unearned revenue, or (d) prepaid expense:

1.Bill for ads that appeared in prior month's local newspaper.

2.Fees received but not yet earned.

3.Fees earned but not yet received.

4.Premium paid on a one-year insurance policy.

5.Rent received in advance for rental of office space.

6.Rent paid in advance.

7.Wages owed but payable in the following period.

PR 3-5A: Pitman Company is a small editorial services company owned and operated by Jan Pitman. On October 31, 2019 the end of the current year, Pitman Company's accounting clerk prepared the following unadjusted trial balance: Pitman Company Unadjusted Trial Balance October 31, 2019 Debit Credit Balances Balances Cash . . . . ... 7,500 Accounts Receivable. 38,400 Prepaid Insurance . .. 7,200 Supplies . . .. 1,980 Land . . . . . 112,500 Building . . . . . . 300,250 Accumulated Depreciation-Building. . . . . 87,550 Equipment. . ... 135,300 Accumulated Depreciation-Equipment 97,950 Accounts Payable 12,150 Unearned Rent. . .. 6,750 Jan Pitman, Capital 371,000 Jan Pitman, Drawing. 15,000 Fees Earned. . . . . . 324,600 Salaries and Wages Expense. . . . .. 193,370 Utilities Expense . .. . . 42,375 Advertising Expense. . . 22,800 Repairs Expense. . . .. 17,250 Miscellaneous Expense . ... 6,075 900,000 900,000ST 3.18: The trial balance for Amy Enterprise for the year ended 31 December 2019 is as follows: Amy Enterprise Trial balance as at 31 December 2019 Account Debit Credit (RM) (RM) Cash 4,200 Accounts receivable 20,000 Notes receivable 10,000 Inventory 24,000 Prepaid rental 2,400 Equipment 18,000 Accumulated depreciation - equipment 4,000 Accounts payable 26,400 Capital, Amy Sales 33,200 176,000 Cost of goods sold 92,000 Wages expenses 40,000 Miscellaneous expenses 24,000 Income tax 5,000 Total 239,600 239.600