Lee Technical Institute (LT), a school owned by Edward Lee, provides training to individuals who pay tuition directly to the school. LTI also offers training to groups in off-site locations, Its unadjusted trial balance as of December 31, 2017, is found on the trial balance tab. LTI initially records prepaid expenses and unearned revenues in balance sheet accounts. Descriptions of items a through h that require adjusting entries on December 31. 2017 follow a. An analysis of LTI's insurance policies shows that $2,500 of coverage has expired b. An inventory count shows that teaching supplies costing $2.880 are available at year-end 2017 C. Annual depreciation on the equipment is $8.400. d. Annual depreciation on the professional library is $9,800 e. On November 1, LTI agreed to do a special six-month course (starting immediately) for a ctient. The contract calls for a monthly fee of $2.800, and the client paid the first five months fees in advance. When the cash was received, the Uneerned Training Fees account was credited. The fee for the sixth month witt be recorded when it is collected in 2018. f. On October 15. LTI agreed to teach a four-month class (beginning immediately) for an individual for $3.400 tuition per month payable at the end of the class. The class started on October 15. but no payment has yet been received LTI's accruals are applied to the nearest half-month; for example. October recognizes one-half month accruat 9. LTr's two employees are paid weekly As of the end of the year, two days' salaries have accrued at the rate of $140 per day for each h. The balance in the Prepaid Rent account represents rent for December employee Generel Trial Baience statement Equity Impact on Bafance Sheetincome Requirement Journal Generat Income St Owner Ledger Trial Balance For transactions a-h, review the unadjusted balance and prepare the adjusting entry necessary to correctly report the expense incurred. Each adjustment is posted automatically to the generalt ledger and trial balance as soon as you click "record entry Lee Technical Institute (LT), a school owned by Edward Lee, provides training to individuals who pay tuition directly to the school. LTI also offers training to groups in off-site locations, Its unadjusted trial balance as of December 31, 2017, is found on the trial balance tab. LTI initially records prepaid expenses and unearned revenues in balance sheet accounts. Descriptions of items a through h that require adjusting entries on December 31. 2017 follow a. An analysis of LTI's insurance policies shows that $2,500 of coverage has expired b. An inventory count shows that teaching supplies costing $2.880 are available at year-end 2017 C. Annual depreciation on the equipment is $8.400. d. Annual depreciation on the professional library is $9,800 e. On November 1, LTI agreed to do a special six-month course (starting immediately) for a ctient. The contract calls for a monthly fee of $2.800, and the client paid the first five months fees in advance. When the cash was received, the Uneerned Training Fees account was credited. The fee for the sixth month witt be recorded when it is collected in 2018. f. On October 15. LTI agreed to teach a four-month class (beginning immediately) for an individual for $3.400 tuition per month payable at the end of the class. The class started on October 15. but no payment has yet been received LTI's accruals are applied to the nearest half-month; for example. October recognizes one-half month accruat 9. LTr's two employees are paid weekly As of the end of the year, two days' salaries have accrued at the rate of $140 per day for each h. The balance in the Prepaid Rent account represents rent for December employee Generel Trial Baience statement Equity Impact on Bafance Sheetincome Requirement Journal Generat Income St Owner Ledger Trial Balance For transactions a-h, review the unadjusted balance and prepare the adjusting entry necessary to correctly report the expense incurred. Each adjustment is posted automatically to the generalt ledger and trial balance as soon as you click "record entry
