To (a) prepare the required adjusting entries and (b) the adjusted trial balance.

LO7 P2-52. Preparing Accounting Adjustments Pownall Photomake Company, a commercial photography studio, completed its first year of operations on December 31. Account balances before year-end adjustments follow; no adjustments have been made to the accounts at any time during the year. Assume that all balances are normal. 2,600 Cash. $ 4,300 Accounts payable $ 4,060 Accounts receivable 3,800 Unearned photography fees.. Prepaid rent 12,600 Common stock 24,000 Prepaid insurance. 2,970 Photography fees earned. 34,480 Supplies 4,250 Wages expense 11,000 Equipment 22,800 Utilities expense 3,420 An analysis of the firm's records discloses the following business began on January 1). 1. Photography services of $1,850 have been rendered, but customers have not yet paid or been billed. The company uses the fees receivable account to reflect amounts due but not yet billed. 2. Equipment, purchased January 1, has an estimated life of 10 years. 3. Utilities expense for December is estimated to be $400, but the bill will not arrive or be paid until January of next year. (All prior months' utilities bills have been received and paid.) 4. The balance in prepaid rent represents the amount paid on January 1 for a two-year lease on the studio it operates from 5. In November, customers paid $2,600 cash in advance for photos to be taken for the holiday season. When received, these fees were credited to unearned photography fees. By December 31, all of these fees are earned. 6. A three-year insurance premium paid on January 1 was debited to prepaid insurance. 7. Supplies still available at December 31 are $1,020. 8. At December 31, wages expense of $375 had been incurred but not yet paid or recorded