Exercise 3-14A Prepare an adjusted trial balance (LO3-3, 3-4)

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[The following information applies to the questions displayed below.]

The December 31, 2021, unadjusted trial balance for Demon Deacons Corporation is presented below.

Accounts	Debit				Credit
Cash	$	9,500
Accounts Receivable		14,500
Prepaid Rent		6,600
Supplies		3,500
Deferred Revenue					$	2,500
Common Stock						12,000
Retained Earnings						5,500
Service Revenue						46,600
Salaries Expense		32,500
	$	66,600			$	66,600

At year-end, the following additional information is available:

1. The balance of Prepaid Rent, $6,600, represents payment on October 31, 2021, for rent from November 1, 2021, to April 30, 2022.

2. The balance of Deferred Revenue, $2,500, represents payment in advance from a customer. By the end of the year, $625 of the services have been provided.

3. An additional $500 in salaries is owed to employees at the end of the year but will not be paid until January 4, 2022.

4. The balance of Supplies, $3,500, represents the amount of office supplies on hand at the beginning of the year of $1,450 plus an additional $2,050 purchased throughout 2021. By the end of 2021, only $750 of supplies remains.

Exercise 3-14A Part 1

Required:

1. Update account balances for the year-end information by recording any necessary adjusting entries. No prior adjustments have been made in 2021. (If no entry is required for a particular transaction/event, select "No Journal Entry Required" in the first account field. Do not round intermediate calculations.)

No	Date	General Journal	Debit	Credit