North Star prepared the following unadjusted trial balance at the end of its second year of operations ending December 31. Account Titles Debit Credit Cash $ 13,000 Accounts Receivable 7,000 Prepaid Rent 2,600 Equipment 22,000 Accumulated DepreciationEquipment $ 1,100 Accounts Payable 1,100 Income Tax Payable 0 Common Stock 25,800 Retained Earnings 3,100 Sales Revenue 53,000 Salaries and Wages Expense 26,000 Utilities Expense 13,500 Rent Expense 0 Depreciation Expense 0 Income Tax Expense 0 Totals $ 84,100 $ 84,100 Other data not yet recorded at December 31: a. Rent expired during the year, $1,300. b. Depreciation expense for the year, $1,100. c. Utilities owing, $10,000. d. Income tax expense, $490.

E4-15 Part 1

Required:

1.	Indicate the accounting equation effects of each required adjustment. (Enter any decreases to Assets, Liabilities, or Stockholders' Equity with a minus sign.)

Transcation Assets Liabilities Stockholders' Equity C