[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 $2,807 of coverage has expired. b. An inventory count shows that teaching supplies costing $2,433 are available at year-end. c. Annual depreciation on the equipment is $11,227. d. Annual depreciation on the professional library is $5,614. e. On September 1, WTI agreed to do five courses for a client for $2,800 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 $14,000 cash in advance for all five 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, $6,798 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 December December 31 Credit Debit $ 26,793 0 10,304 15,458 2,062 30,913 $ 9,275 99,000 16,489 27,000 Cash Accounts receivable Teaching supplies Prepaid insurance Prepaid rent Professional library Accumulated depreciation-Professional library Equipment Accumulated depreciation-Equipment Accounts payable Salaries payable Unearned revenue Common stock Retained earnings Dividends Tuition revenue Training revenue Depreciation expense-Professional library Depreciation expense-Equipment Salaries expense Insurance expense Rent expense Teaching supplies expense Advertising expense Utilities expense Totals 14,000 21,851 78,000 41,220 105, 108 39,158 0 0 49,464 0 22,682 0 7,214 5,771 $ 310,881 $310,881 Required: 1. Prepare the necessary adjusting journal entries for items a through h. Assume that adjusting entries are made only at year-end. View transaction list View journal entry worksheet No Transaction General Journal Debit Credit 1 a 2,807 Insurance expense Prepaid insurance 2,807 2 b. Teaching supplies expense Teaching supplies 7,871 7,871 3 C. Depreciation expense Equipment Accumulated depreciation ---Equipment 11,227 11,227 d Depreciation expense Professional library 5,614 4 d. 5,614 Depreciation expense-Professional library Accumulated depreciation - Professional library 5,614 5 e 5,600 Uneared revenue Training reven venue 5,600 6 f. 6,798 Accounts receivable Tuition revenue 6,798 7 9 400 Salaries expense Salaries payable 400 8 h. Rent expense 2,062 Prepaid rent 2,062 Problem 3-3A (Algo) Part 2 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. Complete this question by entering your answers in the tabs below. Req 2A Req 2B Post the balance from the unadjusted trial balance and the adjusting entries into the T-accounts. Cash Equipment Unadj. Bal. Unadj. Bal. Adj. Bal. 0 Adj. Bal 0 Cash Equipment Unadj. Bal. Unadj. Bal Adj. Bal. 0 Adj. Bal. 0 Accounts Receivable Accumulated Depreciation Equipment Unadj. Bal Unadj. Bal. Adj Bal 0 Adj. Bal. 0 Teaching Supplies Accounts Payable Unadj. Bal Unad Bal. Professional Library Common Stock Unadj. Bal. Unadj. Bal. Adj. Bal. 0 Adj. Bal. 0 Accumulated Depreciation Professional Library Unadj. Bal Retained Earnings Unadj. Bal. Adj. Bal 0 Adj. Bal 0 Tuition Revenue Dividends Unadj. Bal Unadj. Bal