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 follows, along with descriptions of items a through h that require adjusting entries on December 31. Additional Information a. An analysis of WTI's insurance policies shows that $2,400 of coverage has expired. An inventory count shows that teaching supplies costing $2,800 are available at year-end. b. c. Annual depreciation on the equipment is $13,200. d. Annual depreciation on the professional library is $7,200. 0. 1. 9. h. On September 1, WTI agreed to do five training courses for a client for $2,500 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 $12,500 cash in advance for all five training courses on September 1, and WTI credited Unearned Revenue. 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, $7,500 of the tuition revenue has been earned by WTI. 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. The balance in the Prepaid Rent account represents rent for December. WELLS TECHNICAL INSTITUTE Unadjusted Trial Balance December 31 Debit Credit $34,000 Cash Accounts receivable Teaching supplies 0 8,000 Prepaid insurance 12,000 Prepaid rent 3,000 Professional library 35,000 Accumulated depreciation-Professional library $10,000 Equipment 80,000 Accumulated depreciation-Equipment 15,000 Accounts payable 26,000 Salaries payable Unearned revenue T. Wells, Capital T. Wells, Withdrawals 0 12,500 90,000 50,000 Tuition revenue 123,900 Training revenue 40,000 Depreciation expense-Professional library 0 Depreciation expense-Equipment 0 Salaries expense 50,000 Insurance expense 0 Rent expense 33,000 Teaching supplies expense 0 Advertising expense Utilities expense Totals 6,000 6,400 $317,400 $317,400 Date Explanation Cash PR DEBIT CREDIT ACCOUNT NO. 101 BALANCE Accounts Receivable Date Explanation PR. DEBIT CREDIT ACCOUNT NO.106 BALANCE 7 " 9 10 11 12 Prepaid Insurance Date Explanation PR. DEBIT CREDIT ACCOUNT NO. 108 BALANCE 13 14 15 16 17 18 19 20 21 22 Office Equipment 23 24 25 Date Explanation PR DEBIT ACCOUNT NO. 164 CREDIT BALANCE Date Explanation PR. DEBIT CREDIT ACCOUNT NO. 163 BALANCE 26 27 28 29 30 Building 31 32 33 Date Explanation Land PR DEBIT CREDIT ACCOUNT NO. 172 BALANCE Date Explanation PR. DEBIT CREDIT ACCOUNT NO. 170 BALANCE 34 35 36 37 34 30 40 41 Date Explanation Accounts Payable PR ACCOUNT NO 201 Notes Payable DEBIT CREDIT BALANCE Date Explanation PR DEBIT CREDIT ACCOUNT NO 250 BALANCE 42 43 44 45 46 47 48 " 50 02:21 Canal lodger P2-34 Trial Balance B D EF G H M N Q R 37 31 " 40 Accounts Payable 41 Date Explanation PR DEBIT ACCOUNT NO. 201 CREDIT BALANCE Notes Payable Date Explanation PR DEBIT CREDIT ACCOUNT NO. 250 BALANCE 43 45 46 47 4 " 50 51 52 Date Explanation D. Brooks, Capital PR DEBIT CREDIT ACCOUNT NO. 301 BALANCE D. Brooks, Withdrawals Dale Explanation PR. DEBIT CREDIT ACCOUNT NO. 302 BALANCE 53 54 55 56 57 39 Services Revenue 60 Date Explanation PR DEBIT CREDIT ACCOUNT NO. 402 BALANCE Wages Expense Date Explanation PR DEBIT CREDIT ACCOUNT NO, 601 BALANCE 61 62 63 : 16 6 70 21 Equipment Rental Expense Date Explanation PR DEBIT CREDIT ACCOUNT NO. 602 BALANCE 32 73 Dale Explanation Repairs Expense PR DEBIT ACCOUNT NO. 604 CREDIT BALANCE 24 25 26 27 78 79 Advertising Expense Date Explanation PR DEBIT CREDIT ACCOUNT NO. 603 BALANCE 00 L BO M DO