Guidecom Consulting Company initially records prepaid items as assets and unearned items as liabilities. Selected account balances at the end of the current and prior year follow. Accrued expenses and revenues are adjusted only at year-end.

_________________________________Adjusted Balances,__________Adjusted Balances,

_________________________________December 31, 2012___________December 31, 2013

Prepaid Rent ..................................... $ 5,100 ................................... $3,400

Salaries and Wages Payable ..................... 2,100 .................................... 4,700

Unearned Consulting Fees ..................... 18,200 .................................... 7,800

Interest Receivable .................................. 800 .................................... 2,100

During 2013, Guidecom Consulting paid $14,000 for rent and $40,000 for wages. It received $112,000 for consulting fees and $3,200 as interest.

1. Provide the entries that were made at December 31, 2013, to adjust the accounts to the year end balances shown above.

2. Determine the proper amount of Rent Expense, Salaries and Wages Expense, Consulting Fees Revenue, and Interest Revenue to be reported on the current-year income statement.