Show me the steps to solve ASAP Wells Technical Institute $($WTI$)$ provides training to individuals who pay tuition directly to the school. WTI also offers training to groups in off$-$site locations. WTI initially records prepaid expenses and unearned revenues in balance sheet accounts. Its unadjusted trial balance as of December $31$ follows, along with descriptions of items a through h that require adjusting entries on December $31.$

Additional Information Items

An analysis of WTI's insurance policies shows that $$2,807$ of coverage has expired.

An inventory count shows that teaching supplies costing $$2,433$ are available at year$-$end.

Annual depreciation on the equipment is $$11,227.$

Annual depreciation on the professional library is $$5,614.$

On September $1,$ WTI agreed to do five training courses for a client for $$2,500$ each. Two courses will start immediately and finish before the end of the year. Three courses will not begin until next year. The client paid $$12,500$ cash in advance for all five training courses on September $1,$ and WTI credited Unearned Revenue.

On October $15,$ WTI agreed to teach a four$-$month class $($beginning immediately$)$ for an executive with payment due at the end of the class. At December $31,$ $$7,548$ of the tuition revenue has been earned by WTI.

WTI's two employees are paid weekly. As of the end of the year, two days' salaries have accrued at the rate of $$100$ per day for each employee.

The balance in the Prepaid Rent account represents rent for December.

WELLS TECHNICAL INSTITUTE

Unadjusted Trial Balance

December $31$

Debit Credit

Cash $ $27,245$

Accounts receivable $0$

Teaching supplies $10,478$

Prepaid insurance $15,719$

Prepaid rent $2,097$

Professional library $31,436$

Accumulated depreciation$$Professional library $ $9,432$

Equipment $97,000$

Accumulated depreciation$$Equipment $16,768$

Accounts payable $26,000$

Salaries payable $0$

Unearned revenue $12,500$

Common stock $24,057$

Retained earnings $77,000$

Dividends $41,916$

Tuition revenue $106,885$

Training revenue $39,820$

Depreciation expense$$Professional library $0$

Depreciation expense$$Equipment $0$

Salaries expense $50,300$

Insurance expense $0$

Rent expense $23,067$

Teaching supplies expense $0$

Advertising expense $7,336$

Utilities expense $5,868$

Totals $ $312,462$ $ $312,462$

$1.$ Prepare the necessary adjusting journal entries for items a through h$.$ Assume that adjusting entries are made only at year$-$end.

$2-$a$.$ Post the balance from the unadjusted trial balance and the adjusting entries into the T$-$accounts.

$2-$b$.$ Prepare an adjusted trial balance.

$3-$a$.$ Prepare Wells Technical Institute's income statement for the year.

$3-$b$.$ Prepare Wells Technical Institute's statement of retained earnings for the year. The Retained Earnings account balance was $$77,000$ on December $31$ of the prior year.

$3-$c$.$ Prepare Wells Technical Institute's balance sheet as of December $31.$

$1.$ & $2.$ Prepare journal entries to record the transactions for April and post them to ledger accounts in Requirement $6$B GL tab. The company records prepaid and unearned items in balance sheet accounts.

$3.$ Using account balances from Requirement $6$B GL tab, prepare an unadjusted trial balance as of April $30.$

$4.$ Journalize the adjusting entries for the month, and then post to the ledger on Requirement $6$B GL tab, using April $30$ Adjusted as the date.

$5$a$.$ Using adjusted account balances from Requirement $6$B GL tab, prepare an adjusted trial balance as of April $30.$

$5$b$.$ Prepare the income statement for the month of April $30.$

$5$c$.$ Prepare the statement of retained earnings for the month of April $30.$

$5$d$.$ Prepare the balance sheet at April $30.$

$6$a$.$ Prepare journal entries to close the temporary accounts and then post to Requirement $6$B GL tab, using April $30$ Close as the date.

$6$b$.$ Post the journal entries to the ledger.

$7.$ Prepare a post$-$closing trial balance.