Instructions Wolfe & Wolfe collected $9,000 from a customer on April 1 and agreed to provide legal services during the next three months. Wolfe & Wolfe expects to provide an equal amount of services each month. Required: 1. Prepare the journal entry for the receipt of the customer deposit on April 1. 2. Prepare the adjusting entry on April 30. 3. What will be the effect on net income for April if the entry in (2) is not recorded? Chart of Accounts X ASSETS REVENUE 111 Cash 411 Legal Fees Revenue EXPENSES 121 Accounts Receivable 141 Inventory 152 Prepaid Insurance 154 Office Supplies on Hand 174 Equipment 500 Cost of Goods Sold 521 Salaries and Wages Expense 532 Utilities Expense 179 Accumulated Depreciation 533 Insurance Expense 534 Rent Expense LIABILITIES 211 Accounts Payable 231 Salaries and Wages Payable 235 Notes Payable 537 Office Supplies Expense 541 Depreciation Expense 551 Advertising Expense 559 Miscellaneous Expenses 250 Customer Deposits 261 Income Taxes Payable 810 Interest Expense 910 Income Tax Expense EQUITY 311 Capital Stock 331 Retained Earnings General Journal 1. Prepare the journal entry with the impact on the financial statements for the receipt of the customer deposit on April 1. General Journal instructions PAGE 1 GENERAL JOURNAL IMPACT ON FINANCIAL STATEMENTS BALANCE SHEET INCOME STATEMENT DATE ACCOUNT TITLE POST. REF. DEBIT CREDIT ASSETS LIABILITIES EQUITY REVENUE EXPENSES NET INCOME 2. Prepare the adjusting entry with the impact on the financial statements on April 30. PAGE 1 GENERAL JOURNAL IMPACT ON FINANCIAL STATEMENTS BALANCE SHEET INCOME STATEMENT DATE ACCOUNT TITLE POST. REF. DEBIT CREDIT ASSETS LIABILITIES EQUITY REVENUE EXPENSES NET INCOME 1 Adjusting Entries 2 3 Final Question 3. What will be the effect on net income for April if the entry in (2) is not recorded? Net income will be by $