Watson Technical Institute (WTI), a school owned by Tom Watson, 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 at December 31, 2015, follows. WTI initially records prepaid expenses and unearned revenues in statement of financial position accounts. Descriptions of items a through h that require adjusting entries on December 31, 2015, 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 2015. 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 2016. 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 at 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. Credit $ 9,119 16,210 34,612 WATSON TECHNICAL INSTITUTE Unadjusted Trial Balance December 31, 2015 Debit Cash $ 26,340 Accounts receivable Teaching supplies 10,129 Prepaid insurance 15,197 Prepaid rent 2,027 Professional library 30,391 Accumulated depreciation-Professional library Equipment 70,903 Accumulated depreciation Equipment Accounts payable Salaries payable Unearned training fees T. Watson, Capital T. Watson, Withdrawals 40,523 Tuition fees earned Training fees earned Depreciation expense-Professional library Depreciation expense-Equipment Salaries expense 48,628 Insurance expense Rent expense 22,297 Teaching supplies expense Advertising expense 7,092 Utilities expense 5,673 13,000 64,431 103,332 38,496 O Totals $ 279,200 $ 279,200 Required: 2. Prepare the necessary adjusting journal entries for items a through h. Assume that adjusting entries are made only at year-end. (Round your answer to nearest dollar amount. Omit the "$" sign in your response.) Debit Credit Adjusting entries (all dated Dec. 31, 2015). General Journal a. (Click to select) (Click to select) b. (Click to select) (Click to select) C. (Click to select) (Click to select) d. (Click to select) (Click to select) e. (Click to select) (Click to select) (Click to select) (Click to select) g. (Click to select) (Click to select) (Click to select) (Click to select) 3.2 Prepare an adjusted trial balance. (The items in the Trial Balance should be grouped as follows: Assets and Liabilities (in order of their liquidity) then Equity, Revenues, and Expenses. Leave no cells blank - be certain to enter "O" wherever required. Round your answers to the nearest dollar amount. Omit the "S" sign in your response.) Adjusted Trial Balance December 31, 2015 Debit Credit (Click to select) (Click to select) (Click to select) (Click to select) (Click to select) (Click to select) (Click to select) (Click to select) (Click to select) (Click to select) (Click to select) (Click to select) (Click to select) (Click to select) (Click to select) (Click to select) (Click to select) (Click to select) (Click to select) (Click to select) (Click to select) (Click to select) (Click to select) (Click to select) Totals 3.1 Post the balance from the unadjusted trial balance and the adjusting entries in to the T- accounts. (Record the transactions in the given order. Round your answers to the neares amount. Leave no cells blank - be certain to enter "0" wherever required. Omit the "$" si your response.) Cash Unadj. bal. Accounts Receivable Unadj. bal. (Click to select) Adj. bal. Teaching Supplies Unadj. bal. (Click to select) Adj. bal. Prepaid Insurance Unadj. bal. (Click to select) 3.1 Post the balance from the unadjusted trial balance and the adjusting entries in to the T- accounts. (Record the transactions in the given order. Round your answers to the neares amount. Leave no cells blank - be certain to enter "0" wherever required. Omit the "$" si your response.) Cash Unadj. bal. Accounts Receivable Unadj. bal. (Click to select) Adj. bal. Teaching Supplies Unadj. bal. (Click to select) Adj. bal. Prepaid Insurance Unadj. bal. (Click to select) Adj. bal. Prepaid Rent Unadj. bal. (Click to select) Adj. bal. Professional Library Unadj. bal. Accumulated Depreciation Professional library Unadj. bal. (Click to select) Adj. bal. Equipment Unadj. Bal. Accumulated Depreciation Equipment Unadj. bal. (Click to select) Adj. bal. Accounts Payable Unadj. bal. Salaries Payable Unadj. bal. (Click to select) Adj. bal. Unearned Training Fees Unadj. bal. (Click to select) Adj. bal. T. Watson, Capital Unadj. bal. T. Watson, Withdrawals Unadj. bal. Tuition Fees Earned Unadj. bal. (Click to select) Adj. bal. Training Fees Earned Unadj. bal. (Click to select) Adj. bal. Depreciation ExpenseProfessional Library Unadj. bal. (Click to select) Adj. bal. Depreciation Expense-Equipment Unadj. bal. (Click to select) Adj. bal. Salaries Expense Unadj. bal. (Click to select) Adj. bal. Insurance Expense Unadj. bal. (Click to select) Adj. bal. Rent Expense Unadj. bal. (Click to select) Adj. bal. Teaching Supplies Expense Unadj. bal. (Click to select) Adj. bal. Teaching Supplies Expense Unadj. bal. (Click to select) Adj. bal. Advertising Expense Unadj. bal. Utilities Expense Unadj. bal. 3.2 Prepare an adjusted trial balance. (The items in the Trial Balance should be grouped as follows: Assets and Liabilities (in order of their liquidity) then Equity, Revenues, and Expenses. Leave no cells blank - be certain to enter "0" wherever required. Round your answers to the nearest dollar amount. Omit the "S" sign in your response.)