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Help with journal entry ty a Wells Technical Institute (WTI), a school owned by Tristana Wells, provides training to individuals who pay tuition directly to
Help with journal entry ty a Wells Technical Institute (WTI), a school owned by Tristana Wells, provides training to individuals who pay tuition directly to the school WTI also offers training to groups in offsite locations. WTI initially records prepaid expenses and unearned revenues in balance sheet accounts. Its unadjusted trial balance as of December 31 follows, along with descriptions of items a through that require adjusting entries on December 31 Additional Information Items 2. An analysis of WTT's insurance policies shows that $3.864 of coverage has expired. b. An inventory count shows that teaching supplies costing 53.349 are available at year-end. c. Annual depreciation on the equipment is $15.458. d. Annual depreciation on the professional library is $7729 e. On September ? WTI agreed to do five courses for a dient for $2.900 each. Two courses will start immediately and finish before the end of the year. Three courses will not begin until next year. The client paid $14,500 cash in advance for all five courses on September 1 and WT1 credited Uneamed Revenue. E on October 15. WTI agreed to teach a four-month class (beginning immediately for an executive with payment due at the end of the class. A: December 31 $11750 of the tuition revenue has been earned by WTI, 9. WTIS two employees are paid weekly. As of the end of the year two days salaries have accrued at the rate of $100 per day for each employee The balance in the Prepaid Rent account represents rent for Decembet December 31 3 21.54 Recente be den WELLS TECHNICAL INSTITUTE Unadjusted Trial Balance December 31 Credit Debit $ 27,849 0 10, 710 16,068 2,143 32, 133 $ 9,641 99,000 Cash Accounts receivable Teaching supplies Prepaid insurance Prepaid rent Professional library Accumulated depreciation-Professional library Equipment Accumulated depreciation Equipment Accounts payable Salaries payable Unearned revenue Common took Retained earnings Dividends Tuition revenue Training revenue Depreciation expense-Professional library Depreciation expense-Equipment Salaries expense Insurance expense Rent expense Teaching supplies expense Advertising expense Utilities expense Totals 17,139 23,000 0 14,500 27,996 77,000 42,845 109,254 40,702 0 0 51,415 0 23,573 0 7.498 5,998 $ 319,232 $319,232 No Transaction General Journal Debit Credit 1 a Insurance expense Prepaid insurance 3,864 3.864 2 b. Teaching supplies expense Teaching supplies 3,349 3,349 3 C Depreciation expense-Equipment Accumulated depreciation Equipment 15,458 15,458 4 d Depreciation expense-Professional library Accumulated depreciation--Professional library 7.720 7.728 5 3 Uneamed revenue Training revenue 14,800 14.500 0 1 Accounts receivable Tuition revenue
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