TRS Consulting, owned by Trevor Sultan, has a December 31 year-end. On January 20, 2015, all invoices and related information were provided for posting year-end adjusting entries. The prepaid expense accounts in the trial balance, shown below, have not been adjusted during the year. The information is as follows.
a. TRS has a three-and-a-half-year service contract that began October 1, 2014, for supplying consulting services at a monthly rate of $2,748. Invoicing is to be done quarterly. The first invoice was issued January 1, 2015.
b. TRS received a $13,000 deposit on December 31, 2014, for services to be rendered in May 2015. The total value of the services to be rendered for this contract is $52,000.
No entry has been made for this transaction.
c. Depreciation for 2014 has not been recorded. The expected life of the assets listed on the trial balance are shown below. No assets have been purchased or sold in the current year. Complete a compound journal entry.

d. Business insurance and auto insurance were purchased and paid for. Coverage for both policies begins on March 1, 2014. Both these policies are for 12-month periods.

Instructions
1. Journalize the adjusting and correcting entries. Add additional accounts as needed.
2. Determine the balances of the accounts affected by the adjusting and correcting entries and prepare an adjusted trial balance. There were no additional investments during the period.

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Estimated Life 10 years 1 year 5 years 25 years Asset Vehicle Computers Office Furniture Building TRS Consultin Unadjusted Trial Balance December 31, 2014 Debit Balances Balances Credit 7,460 17,350 4,200 1,200 30,000 Cash Accounts Receivable Prepaid Insurance Prepaid Auto Insurance Vehicle. Accumulated Depreciation Vehicle Computers Accumulated Depreciation Computers Office Furniture Accumulated Depreciation Office Furniture Building. Accumulated Depreciation Building Land Accounts Payable Trevor Sultan, Capital. Trevor Sultan, Withdrawals Consulting Fees Other Income Salaries Expense Supplies Expense Utilities Expense 6,000 9,000 7,750 300,000 9,000 4,650 18,000 100,000 950 364,960 18,000 264,300 16,500 180,000 3,260 6,140 684,360 684,360