Problem 33A Preparing adjusting entries, adjusted trial balance, and financial statements LO P1, P2, P3 The following information applies to the questons displayed below Wells Tech the school. WTI also offers training to groups in off-site locations. its unadjusted trial balance as of December 31, 2017 follows. WTI 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. nical Institute (WT), a school owned by Tristana Wells, provides training to individuals who pay tultion directly to Additional Information Items a. An analysis of WTI's insurance policies shows that $2,939 of coverage has expired. b. An inventory count shows that teaching supplies costing $2,547 are available at year-end 2017. c. Annual depreciation on the equipment is $11,756. d. Annual depreciation on the professional library is $5,878 e. On November 1, WTI agreed to do a special six-month course (starting immediately) for a client. The contract calls for a monthly fee of $3,000, and the client paid the first five months' fees in advance. When the cash was received, the Unearned Training Fees account was credited. The fee for the sixth month will be recorded when it is collected in 2018. f On October 15. WTI agreed to teach a four-month class (beginning immediately) for an individual for $2,780 tuition per month payable at the end of the class. The class started on October 15, but no payment has yet been received. (WTI's accruals are applied to the nearest half-month; for example, October recognizes one-half month accrual) es are paid weekly. As of the end of the year, two days' salaries have accrued at the rate of $100 per g. WTI's two employee h. The balance in the Prepaid Rent account represents rent for December day for each employee WELLS TECHNICAL INSTITUTE Unadjusted Trial Balance December 31, 2017 Debit 26,340 Cash Teaching supplien 10,129 15 197 6 7 of 018 iii Next > day for each employee. h. The balance in the Prepaid Rent account represents rent for December. December 31, 2017 Cash Accounts receivable Teaching supplies Prepaid insurance Prepaid rent Professional library Accumulated depreciation-Professional library Equipment Accumulated depreciation-Equipment Accounts payable Salaries payable Unearned training fees Common stock $ 26,340 10,129 15,197 2,027 30,391 $9,119 70,903 16,210 32,612 15,000 11,000 53,431 40,523 Dividends Tuition fees earned Training fees earned Depreciation expense Professional library 103,332 38,496 48,628 22,297 7,092 Adverticing expense 5 673 s 279,200 $279,200 Tota Problem 3-3A Part 2 2-a. Post the balance from the unadjusted trial balance and the adjusting entries in to the Taccounts 2-b. Prepare an adjusted trial balance. Complete this question by entering your answers in the tabs below. Req 2A Req 28 Post the balance from the unadjusted trial balance and the adjusting entries in to the T-accounts Cash Unad, Bal. Adj. Bal. Adj. Bal. 0 Accumulated Depreciation -Equipment Unadj. Bal. Adj. Bal. Adj. Bal. Prev 6 7 of 8Next > 279,200 $279,200 Problem 3-3A Part 2 2-a. Post the balance from the unadjusted trial balance and the adjusting entries in to the T-accounts. 2-b. Prepare an adjusted trial balance Unadj, Bal. Adj. Bal. Bal. Prepaid Insurance Sa Bal. Adj. Bal Adj. Bal. Unadj. Bal. 0 Adj. Bal Adj. Bal Problem 3-3A Part 2 2-a. Post the balance from the unadjusted trial balance and the adjusting entries in to the T-accounts. 2-b. Prepare an adjusted trial balance. ib Unad, Bal. Adj. Bal 0 Adj. Bal Adj. Bal. Adj. Bal Tui Dividends Unadj. Bal. Unadj. Ba Adj. Bal. Adj. Bal Adj. Bal De Adj. Bal Adj. Bal Util Adj. Bal Adj. Bal. Adj. Bal. Prepare an adjusted trial balance. WELLS TECHNICAL INSTITUTE Adjusted Trial Balance December 31, 2017 Debit Credit Cash Accounts receivable Teaching supplies Prepaid insurance Prepaid rent Professional library Accumulated depreciation- Professional library Equipment Accumulated depreciation-Equipment Accounts payable Salaries payable Unearned training fees Common stock Retained earnings Dividends Tuition fees earned Training fees earned Depreciation expense Professional library Depreciation expense Equipment Salaries expense Insurance expense Required information Prepare Wells Technical Institute's balance sheet as of December 31, 2017. WELLS TECHNICAL INSTITUTE Balance Sheet December 31, 2017 Total equity