SEC, Inc.

Trial Balance before Adjustments

December 31, 2012

	Debit	Credits
Cash	$12,600
Accounts Receivable	13,400
Supplies	2,400
Equipment	38,500
Accumulated Depreciation		$7,700
Accounts Payable		8,500
Unearned Service Revenue		9,900
Common Stock		18,000
Retained Earnings		11,500
Dividends	600
Service Revenue		35,000
Rent Expense	1,500
Salaries Expense	19,200
Utilities Expense	2,400
Total	$90,600	$90,600

Additional Information

1. The equipment was purchased on January 1, 2011. The useful life is estimated to be 5 years, with no salvage value,

2. A count of supplies on December 31, 2012 showed $600 of supplies still on hand.

3. On December 31, 2012, wages that had been earned by employees, but not yet paid amounted to $800. The net scheduled pay date is January 4, 2013.

4. During December, SEC performed $3,300 worth of services, for which it had been paid in September.

5. On November 1, 2012, SEC paid for 5 months of rent with cash.

A) What are the correct adjusting entries?

B) Determine Net Income (after adjustments) for the year ending December 31, 2012.