Green Valley Company prepared the following trial balance at the end of its first year of operations ending December 31. To simplify the case, the amounts given are in thousands of dollars.

	UNADJUSTED
Account Titles	Debit		Credit
Cash	25
Accounts receivable	22
Prepaid insurance	17
Machinery	84
Accumulated depreciation
Accounts payable			18
Wages payable
Income taxes payable
Common stock (3,000 shares)			3
Additional paid-in capital			64
Retained earnings	16
Revenues (not detailed)			111
Expenses (not detailed)	32
Totals	196		196

Other data not yet recorded at December 31 include

1. Insurance expired during the current year, $13.
2. Wages payable, $16.
3. Depreciation expense for the current year, $18.
4. Income tax expense, $10.

Required:

1. Prepare the adjusting entries for the current year.

2. Complete the trial balance Adjustments and Adjusted columns. The Ref. column is for the reference letter of the adjusting entry effect.

Complete the trial balance Adjustments and Adjusted columns. The Ref. column is for the reference letter of the adjusting entry effect. (For revenues and expenses enter the total amount of adjustments in the adjusted column. Enter your answers in thousands.)

GREEN VALLEY COMPANY
Trial Balance
December 31, Current Year
	Unadjusted		Adjustments			Adjusted
Account Titles	Debit	Credit	Ref.	Debit	Credit	Debit	Credit
Cash	25
Accounts receivable	22
Prepaid insurance	17
Machinery	84
Accumulated depreciation
Accounts payable		18
Wages payable
Income taxes payable
Common stock		3
Additional paid-in capital		64
Retained earnings	16
Revenues (not detailed)		111
Expenses (not detailed)
	32
Totals	196	196		0	0	0	0