Question
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
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
Prepare the necessary adjusting journal entries for items a through h. Assume that adjusting entries are made only at year-end.
Answer is complete and correct.
| No | Transaction | General Journal | Debit | Credit |
|---|---|---|---|---|
| 1 | a. | Insurance expenseselected answer correct | 3,335selected answer correct | not attempted |
| Prepaid insuranceselected answer correct | not attempted | 3,335selected answer correct | ||
| 2 | b. | Teaching supplies expenseselected answer correct | 7,645selected answer correct | not attempted |
| Teaching suppliesselected answer correct | not attempted | 7,645selected answer correct | ||
| 3 | c. | Depreciation expenseEquipmentselected answer correct | 13,342selected answer correct | not attempted |
| Accumulated depreciationEquipmentselected answer correct | not attempted | 13,342selected answer correct | ||
| 4 | d. | Depreciation expenseProfessional libraryselected answer correct | 6,671selected answer correct | not attempted |
| Accumulated depreciationProfessional libraryselected answer correct | not attempted | 6,671selected answer correct | ||
| 5 | e. | Unearned training feesselected answer correct | 5,000selected answer correct | not attempted |
| Training fees earnedselected answer correct | not attempted | 5,000selected answer correct | ||
| 6 | f. | Accounts receivableselected answer correct | 10,153selected answer correct | not attempted |
| Tuition fees earnedselected answer correct | not attempted | 10,153selected answer correct | ||
| 7 | g. | Salaries expenseselected answer correct | 400selected answer correct | not attempted |
| Salaries payableselected answer correct | not attempted | 400selected answer correct | ||
| 8 | h. | Rent expenseselected answer correct | 2,108selected answer correct | not attempted |
| Prepaid rentselected answer correct | not attempted | 2,108selected answer correct |
2-a. Post the balance from the unadjusted trial balance and the adjusting entries in to the T-accounts. 2-b. Prepare an adjusted trial balance.
Post the balance from the unadjusted trial balance and the adjusting entries in to the T-accounts.
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Top Accounting And Auditing Issues For 2023
Authors: CCH Tax Law Editors
1st Edition
0808059335, 978-0808059332
