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[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

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[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. 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. Additional Information Items a. An analysis of WTI's insurance policies shows that $2,542 of coverage has expired. b. An inventory count shows that teaching supplies costing $2,204 are available at year-end 2017 c. Annual depreciation on the equipment is $10,170. d. Annual depreciation on the professional library is $5,085 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 $2,600, 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 $2,399 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.) 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 December WELLS TECHNICAL INSTITUTE Unadjusted Trial Balance December 31, 2017 Debit Credit Cash $ 27,849 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 10,710 16,068 2,143 32,133 $ 9,641 74,968 17,139 37,341 0 13,000 14,000 54,123 Common stock Retained earnings Dividends 42,845 Tuition fees earned 109,254 40,702 Training fees earned Depreciation expense-Professional library Depreciation expense-Equipment Salaries expense Insurance expense 0 51,415 0 Rent expense 23,573 Teaching supplies expense Advertis ing expense Utilities expense 0 7,498 5,998 Totals $ 295,200 $295,200 Journal entry worksheet

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