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GLO302 - Based on Problem 3-3A LO P1, P2, P3, P4, P5, P6 Brown Technical Institute (BTI), a school owned by Paul Brown, provides training to individuals who pay tuition directly to the school. BTI also offers training to groups in off-site locations. Its unadjusted trial balance as of December 31, 2018, is found on the trial balance tab. BTI initially records prepaid expenses and unearned revenues in balance sheet accounts. Descriptions of items a through h that require adjusting entries on December 31 follow. a. An analysis of BTI's insurance policies shows that $2,450 of coverage has expired. b. An inventory count shows that teaching supplies costing $2,840 are available at year-end. c. Annual depreciation on the equipment is $8,200. d. Annual depreciation on the professional library is $9.400. e. On November 1, BTI agreed to do a spe 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. f. On October 15, BTI agreed to teach a four-month class (beginning immediately) for an executive with payment due at the end of the class. At December 31, $8,000 of the tuition has been earned by BTI. g. BTI's two employees are paid weekly. As of the end of the year, two days' salaries have accrued at the rate of $120 per day for each employee. h. The balance in the Prepaid Rent account represents rent for December. Impact Require... General Journal General Ledger Trial Balance Income St Statem... Retained Balance Sheet on For transactions a-h, review the unadjusted balance and prepare the adjusting entry necessary to correctly report the revenue earned or the expense incurred. Each adjustment is posted automatically to the general ledger and trial balance as soon as you click "record entry". Show less No Account Title Debit Credit Date Dec 31 1 2 Dec 31 3 Dec 31 3 4 4 Dec 31 on 5 Dec 31 6 Dec 31 7 7 Dec 31 8 Dec 31 General Journal tab - For transactions a-h, review the unadjusted balance and prepare the adjusting entry necessary to correctly report the revenue earned or the expense incurred. After adjusting the accounts, review the financial statements for accuracy. General Ledger tab - Each journal entry is posted automatically to the general ledger. Use the drop-down button to view the unadjusted or adjusted balances. Trial Balance tab - You may view either the unadjusted or adjusted trial balance by choosing from the dropdown box below. Your choice will determine the reported values on the financial statement tabs. Income Statement tab - Use the drop-downs to select the accounts properly included on the income statement. The unadjusted or adjusted balances will appear for each account, based on your selection. Statement of Retained earnings tab - The unadjusted or adjusted balances will appear for each account, based on your selection. Balance Sheet tab - Use the drop-downs to select the accounts properly included on the balance sheet. The unadjusted or adjusted balances will appear for each account, based on your selection. Impact on Income tab - For each adjustment, indicate the income statement and balance sheet account affected, and the impact on net income. If an adjustment caused net income to decrease, enter the amount as a negative value. Net income before adjustments can be found on the income statement tab. (Hint: Select unadjusted on the dropdown.) Impact Require... General Journal General Ledger Trial Balance Income St Statem... Retained Balance Sheet on For each adjustment, indicate the income statement and balance sheet account affected, and the impact on net income. If an adjustment caused net income to decrease, enter the amount as a negative value. Net income before adjustments can be found on the income statement tab. (Hint: Select unadjusted on the drop-down.) Show less Impact on net income Adjusted Account affecting the: Adjusting entry related Income statement Balance Sheet to: a. Insurance b. Teaching supplies c. Depreciation - equipment d. Depreciation - library e. Training fees f. Tuition g. Salaries h. Rent Total impact on income due to adjustments Net income before adjustments Net income after adjustments $ 0 0 Adjusted Brown Technical Institute Balance Sheet December 31, 2019 Assets Current assets $ 0 0 0 0 0 0 $ 0 Plant assets $ Olo 0 0 0 0 0 0 $ Liabilities Current liabilities $ 0 Ooo $ $ 0 Equity 0 0 $ GL0302. Based on Problem 3-3A LO P1, P2, P3, P4, P5, PG led red Brown Technical Institute (BT) a school owned by Paul Brown, provides training to individuals who pay tuition directly to the school. Bio offers training to groups in offerte locations. Its unadjusted trial balance as of December 31, 2018 Is found on the trial balance tnb. BTI initially records prepaid expenses and uneared revenues in balance sheet accounts. Descriptions of items a through that require adjusting entries on December 31 follow a. An analysis of 's Insurance policies shows that 52450 of coverage has expired b. An inventory count shows that teaching supplies costing 52,840 are available at year-end c. Annual depreciation on the equipment is $8.200 d. Annual depreciation on the professional library is $9.400 On November 1. Ti agreed to do a special month course starting immediately for cent. The contract calls for a monthly fee of $2.500, and the client paid the first five months' fees in advance. When the cash was received the Unearned Training Fees account was credited. On October 15, BT agreed to teach a four month class beginning immediately for an executive with payment dues the end of the class. At December 3158,000 of the tuition has been camed by BT BTI'S two employees are paid weekly. As of the end of the year, two days seres have scored at the rate of $120 per day for each employee. h. The balance in the Prepaid Rent account represents ret for December ok K ot ence General Require. General Trial Income St Balance Impact Journal Ledger Balance Statem. Retained Sheet You may view elther the unadjusted or adjusted trial balance by choosing from the drop-down box below. Your choice will determine the reported values on the financial statement tabs on Adjusted Show less Brown Technical Institute Trial Balance December 31, 2019 Account Title 12 Cash Debit Credit is 37,125 8.050 7350 3200 47000 18.800 82 000 1000000 Teaching supplies Prepaid insurance Prepaid rent Professional brary Accumulated depreciation - Professional brasy Equipment Accumulated depreciation Equipment Accounts payable Uneamed training fees Common stock Retained eaming Dividends Tuition fees med Training fees eamed Salaries expense Ron pense Advertising expense Utes expense Total 16.400 27,200 13,000 5.000 92.000 50 300 126 000 40 500 50.200 35,200 6,025 S 6.450 332.000 3 340,000 Explanation No further explanation des are available for this problem GL0302 - Based on Problem 3-3A LO P1, P2, P3, P4, P5, P6 Brown Technical Institute (BTI), a school owned by Paul Brown, provides training to individuals who pay tuition directly to the school. BTI also offers training to groups in off-site locations. Its unadjusted trial balance as of December 31, 2018, is found on the trial balance tab. BTI initially records prepaid expenses and unearned revenues in balance sheet accounts. Descriptions of items a through n that require adjusting entries on December 31 follow, a. An analysis of BTI's insurance policies shows that $2,450 of coverage has expired. b. An inventory count shows that teaching supplies costing $2,840 are available at year-endi c. Annual depreciation on the equipment is $8.200. d. Annual depreciation on the professional library is $9.400 e. On November 1, BTI 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 t. On October 15, BTI agreed to teach a four month class (beginning immediately) for an executive with payment due at the end of the class. At December 31,$8,000 of the tuition has been earned by BTI. 9. BTI's two employees are paid weekly. As of the end of the year, two days' solaries have occrued at the rate of $120 per day for each employee h. The balance in the Prepaid Rent account represents rent for December Requirement General Journal General Ledger Trial Balance Income Statement St Retained Earnings Balance Sheet Impact on Income For transactions ah review the unadjusted balance and prepare the adjusting entry necessary to correctly report the revenue earned or the expense incurred. Each adjustment is posted automatically to the general ledger and trial balance as soon as you click "record entry". Show less No Date Account Title Debit Credit 1 Dec 31 2 Dec 31 3 Dec 31 4 Dec 31 5 Dec 31 6 Dec 31 General Ledger Account Cash Teaching supplies No. Date Debit Credit Balance No. Date Debit Credit Balance Dec 31 37,125 Dec 31 8,050 Prepaid rent Prepaid insurance Debit Credit No. Date Balance No. Date Debit Credit Balance Dec 31 7,350 Dec 31 3.200 Professional library Accumulated depreciation - Professional library No. Date Debit Credit Balance No. Date Debit Credit Dec 31 47.000 Balance 18,800 Dec 31 Equipment Debit Credit No. Date Balance No Accumulated depreciation - Equipment Date Debit Credit Dec 31 Balance Dec 31 82,000 16,400 Unearned training fees Accounts payable Debit Credit No. Date No. Date Debit Credit Balance Dec 31 Balance 27.200 Dec 31 13,000 Common stock Retained earnings No. Date Debit Credit Balance No. Date Debit Credit Balance Dec 31 8,000 Dec 31 92,000 Dividends Tuition fees earned No. Date Debit Credit No. Debit Balance 50,300 Credit Balance Dec 31 Date Dec 31 125.000 Training fees earned Salaries expense No. Debit Credit No. Date Debit Date Dec 31 Credit Balance Balance 40,500 Dec 31 50,200 Rent expense Advertising expense No. Date Debit Credit Balance No. Date Debit Credit Balance Dec 31 35200 Dec 31 6,025 Utilities expense No. Date Debit Credit Balance Dec 31 6.450 Y. I WU Eyees are poiu Weny. S VI UTEU VI UTE I wo uays shovel acue TOE VIU per ay or to employee. h. The balance in the Prepaid Rent account represents rent for December Requirement General Journal General Ledger Trial Balance Income Statement St Retained Earnings Balance Sheet Impact on Income You may view e/ther the unadjusted or adjusted trial balance by choosing from the drop-down box below. Your choice will determine the reported values on the financial statement tabs. Adjusted Brown Technical Institute Trial Balance December 31, 2019 Account Title Debit Credit is 37,125 8,050 7.350 3.200 47,000 18,800 82,000 Cash Teaching supplies Prepaid Insurance Prepaid rent Professional library Accumulated depreciation - Professional library Equipment Accumulated depreciation Equipment Accounts payable Uneamed training fees Common stock Retained earnings Dividends Tuition fees earned Training fees eamed Salaries expense Rent expense Advertising expenso 16,400 27,200 13,000 8,000 92.000 50,300 125,000 40,500 50,200 Utilities expenso Total 35,200 6,025 6,450 332,900 $ 340,000 BTI also offers training to groups in off-site locations. Its unadjusted trial balance as of December 31, 2018, is found on the trial balance tab. BTI initially records prepaid expenses and unearned revenues in balance sheet accounts. Descriptions of items a through h that require adjusting entries on December 31 follow. a. An analysis of BTI's Insurance policies shows that $2,450 of coverage has expired. b. An inventory count shows that teaching supplies costing $2,840 are avallable at year-end. c. Annual depreciation on the equipment is $8,200. d. Annual depreciation on the professional library is $9,400. e On November 1, BTI 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 f. On October 15, BTI agreed to teach a four-month class (beginning immediately) for an executive with payment due at the end of the class, At December 31, $8,000 of the tuition has been earned by BTI. 9. Bti's two employees are paid weekly. As of the end of the year, two days' salaries have accrued at the rate of $120 per day for each employee h. The balance in the Prepaid Rent account represents rent for December Requirement General Joumai General Ledger Tral Balance Income Statement St Retained Earnings Balance Sheet Impact on Income The unadjusted or adjusted balances will appear for each account, based on your selection Adjusted Brown Technical Institute Statement of Retained Earnings For Year Ended December 31, 2010 Retained earnings, December 31, 2019 Add: Net Income Less: Dividends Retained earnings, December 31, 2019 $ 92.000 (50.300) 92.000
