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, 2017, follows. WTI initially records prepaid expenses and unearned revenues in balance sheet accounts. Descriptions of items a through h that require adjusting entries on December 31, 2017, follow.

Additional Information Items

a.An analysis of WTI's insurance policies shows that $3,468 of coverage has expired.

b. An inventory count shows that teaching supplies costing $3,006 are available at year-end 2017.

c. Annual depreciation on the equipment is $13,871.

d. Annual depreciation on the professional library is $6,936.

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 $2,300, 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 2018.

f. On October 15, WTI agreed to teach a four-month class (beginning immediately) for an individual for $4,519 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 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.

Additional Information Items a. An b. An inventory count shows that teaching supplies costing $3,006 are available at year-end 2017 c. Annual depreciation on the equipment is $13,871 d. Annual depreciation on the professional library is $6,936 analysis of WTT's insurance policies shows that $3,468 of coverage has expired. agreed to do a special six-month course (starting immediately) for a client The contract calls for a monthly fee of $2,300, 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 2018. On October 15, WTI agreed to teach a four-month class (beginning immediately) for an individual for $4,519 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 f. 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 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. VELLS TECHNICAL INSTITUTE Unadjusted Trial Balance Decenber 31, 2017 Debit Cach Accounts receivable Teaching supplies Prepaid insur ance Prepaid rent Professional library Accunul ated depreciation-Professional libr ary Equipnent Accunul ated depreciation Equipnent Accounts payable Salaries payable Une arned training fees T. Wells, Copit al T. Vells, Withdravals Tuition fees eamed Training fees earned Depreci at ion expense Professional library Depreci ation expense Equipnent Salaries expense Insur ance expense Rent Teaching supplies expence Advertining expense Utilities expence Totala 27, 547 10, 594 15, 894 2. 120 31. 784 $9, 537 74. 152 16, 954 38, 294 11, 500 67. 385 42, 381 108, 069 40. 261 50, 858 23, 320 7, 417 expense 933 S292000 $292000 Req 3A Req 3B Req 3C Prepare Wells Technical Institute's income statement for the year 2017. WELLS TECHNICAL INSTITUT Income Statement For Year Ended December 31, 2017 Revenues Tuition fees earned Req 3A Req 3B Req 3C Prepare Wells Technical Institute's statement of owner' during the year WELLS TECHNICAL INSTITUTE Statement of Owner's Equity For Year Ended December 31, 2017 T. Wells, Capital, December 31, 2016 T. Wells, Capital, December 31, 2017 Req 3A Req 3B Req 3C Prepare Wells Technical Institute's balance sheet as of December 31, 2017. with zero baliances.... HUARNNIORANNOKOWOORECE WELLS TECHNICAL INSTITUTE Balance Sheet December 31, 2017