$[$The following information applies to the questions displayed below.$]$

Wells Technical Institute $($WTI$),$ a school owned by Tristana Wells, 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

a$.$ An analysis of WTI's insurance policies shows that $$3,732$ of coverage has expired.

b$.$ An inventory count shows that teaching supplies costing $$3,235$ are available at year$-$end.

c$.$ Annual depreciation on the equipment is $$14,929.$

d$.$ Annual depreciation on the professional library is $$7,464.$

e$.$ On September $1,$ WTI agreed to do five training courses for a client for $$2,600$ each. Two courses will start immediately and finish before the end of the year. Three courses will not begin until next year. The client paid $$13,000$ cash in advance for all five training courses on September $1,$ and WTI credited Unearned Revenue.

f$.$ 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 $31,$ $$11,850$ of the tuition revenue has been earned by WTI.

g$.$ 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.

h$.$ The balance in the Prepaid Rent account represents rent for Defember.

$\backslash$table$[[,\backslash$table$[[$WELLS TECHNICAL INSTITUTE$],[$Unadjusted Trial Balance$],[$December $31]],,],[,\backslash$table$[[$Debit$]],$Credit,$],[$Cash$,,28,151,],[$Accounts receivable,$0,0,826,],[$Teaching supplies,,$10,242,]]$

Prev

$8$

of $8$

Next

MacBook Pro