Selected account balances before adjustment for Atlantic Coast Realty at July 31, the end of the current year, are as follows:

	Debits	Credits
Accounts Receivable	$72,900
Equipment	349,200
Accumulated DepreciationEquipment		$117,900
Prepaid Rent	8,850
Supplies	3,020
Wages Payable
Unearned Fees		13,000
Fees Earned		657,700
Wages Expense	335,800
Rent Expense
Depreciation Expense
Supplies Expense

Data needed for year-end adjustments are as follows:

	Unbilled fees at July 31, $10,500.
	Supplies on hand at July 31, $900.
	Rent expired, $6,300.
	Depreciation of equipment during year, $8,650.
	Unearned fees at July 31, $1,590.
	Wages accrued but not paid at July 31, $4,710.

	Required:
1.	Journalize the six adjusting entries required at July 31, based on the data presented. Refer to the chart of accounts for the exact wording of the account titles. CNOW journals do not use lines for journal explanations. Every line on a journal page is used for debit or credit entries. CNOW journals will automatically indent a credit entry when a credit amount is entered.
2.	What would be the effect on the income statement if the adjustments for unbilled fees and accrued wages were omitted at the end of the year?
3.	What would be the effect on the balance sheet if the adjustments for unbilled fees and accrued wages were omitted at the end of the year?
4.	What would be the effect on the Net increase or decrease in cash on the statement of cash flows if the adjustments for unbilled fees and accrued wages were omitted at the end of the year?

CHART OF ACCOUNTS

Atlantic Coast Realty

General Ledger

	ASSETS
11	Cash
12	Accounts Receivable
13	Supplies
14	Prepaid Rent
15	Land
16	Equipment
17	Accumulated Depreciation-Equipment

	LIABILITIES
21	Accounts Payable
22	Unearned Fees
23	Wages Payable
24	Taxes Payable

	EQUITY
31	Owners Equity
32	Withdrawals

	REVENUE
41	Fees Earned
42	Rent Revenue

	EXPENSES
51	Advertising Expense
52	Insurance Expense
53	Rent Expense
54	Wages Expense
55	Supplies Expense
56	Utilities Expense
57	Depreciation Expense
59	Miscellaneous Expense