The Artisan Wines is a retail store selling vintage wines. On December 31, 2016, the firm’s general ledger contained the accounts and balances below. All account balances are normal.

Cash.......................28,386

Accounts Receivable ...............500

Prepaid Advertising ................480

Supplies ..................300

Merchandise Inventory ............. 15,000

Store Equipment................. 25,000

Accumulated Depreciation—Store Equipment ..... 3,000

Office Equipment ............... 5,000

Accumulated Depreciation—Office Equipment .... 1,500

Notes Payable, due 2017 ............. 20,000

Accounts Payable ................ 2,705

Wages Payable

Social Security Tax Payable

Medicare Tax Payable

Unearned Seminar Fees .............. 6,000

Interest Payable

Vincent Arroyo, Capital ............ 32,700

Vincent Arroyo, Drawing ............ 14,110

Income Summary

Sales ................... 153,970

Sales Discounts ................. 200

Seminar Fee Income

Purchases ................. 91,000

Purchases Returns and Allowances ........ 1,000

Freight In .................. 225

Rent Expense................ 13,200

Wages Expense .............. 24,000

Payroll Taxes Expense ........... 3,324

Depreciation Expense—Store Equipment

Depreciation Expense—Office Equipment

Advertising Expense

Supplies Expense

Interest Expense .............. 150

INSTRUCTIONS:

1. Prepare the Trial Balance section of a 10-column worksheet. The worksheet covers the year ended December 31, 2016.

2. Enter the adjustments below in the Adjustments section of the worksheet. Identify each

adjustment with the appropriate letter.

3. Complete the worksheet.

ADJUSTMENTS:

a.–b. Merchandise inventory at December 31, 2016, was counted, and determined to be $13,000.

c. The amount recorded as prepaid advertising represents $480 paid on September 1, 2016, for 12 months of advertising.

d. The amount of supplies on hand at December 31 was $160.

e. Depreciation on store equipment was $3,000 for 2016.

f. Depreciation on office equipment was $1,125 for 2016.

g. Unearned Seminar Fees represents $6,000 received on November 1, 2016, for six seminars. At December 31, four of these seminars had been conducted.

h. Wages owed but not paid at December 31 were $500.

i. On December 31, 2016, the firm owed the employer’s social security tax ($31.00) and

Medicare tax ($7.25).

j. The note payable bears interest at 6% per annum. One month interest is owed at December 31, 2016.

Analyze:

What was the amount of revenue earned by conducting seminars during the year ended December 31, 2016?