10 points eBook 101 Hint a. Ask b Print References Mc Graw Following are two income statements for Alexis Company for the year ended December 31. The left number column is prepared before adjusting entries are recorded, and the right column is prepared after adjusting entries. The company records cash receipts and payments related to unearned and prepaid items in balance sheet accounts. Revenues Expenses Services revenue Commissions revenue Total revenues / " 1 Depreciation expense-Computers Depreciation expense-Office furniture Salaries expense Insurance expense Net income Rent expense office supplies expense Advertising expense Utilities expense Total expenses View transaction list No 1 2 3 4 5 Event Analyze the statements and prepare the seven adjusting entries a through g. that likely were recorded. Hint The entry for a refers to revenue that has been earned but not yet billed. No adjusting entry involves cash. a b C Income Statements For Year Ended December 31 d 0 View journal entry worksheet Accounts receivable Services revenue Unadjusted Adjustments Salaries expense $ 24,000 42,500 $ 66,500 Salarios payable 8 Insurance expense 8 12,500 0 4,500 0 3,000 1,250 21,250 $ 45,250 Depreciation expense Computers Accumulated depreciation Computers Depreciation expense-Office furniture Accumulated depreciation Computers General Journal b. C. d e 4 [ Adjusted $ 29,400 42,500 71,900 1,350 1,575 14,705 1,170 4,500 432 3,000 1,313 28,845 $ 43,8551 Debit 6,000 1,500 1,750 2,450 1,300 *** Credit 6,000 1,500 1,750 2,450 L O O +

Perry Technical Institute (PTI), a school owned by Kathy Perry, provides training to individuais who pay tuition directly to the school. PTI also offers training to groups in off-site locations. Its unadjusted trial batance as of December 31, 2022, is found on the trial balance tab. PTi initially records prepaid expenses and unearned revenues in balance sheet accounts. Descriptions of items a through h that require adjusting entries on December 31 follow. a. An analysis of PTirs insurance policies shows that $2,850 of coverage has expired. b. An inventory count shows that teaching supplies costing $3,880 are available at year-end. c. Annual depreciation on the equipment is $3,800 d. Annual depreciation on the professional library is $7,000. e. On November 1. PTI agreed to do a speciai six-month course (starting immediately) for a client. The contract calls for a monthly fee of $2,800, and the client paid the first five month' foes in advance. When the cash was received, the Unearned Training Fees account was creclited. 1. On October 15. PTI agreed to teach a four-month class (beginning immediately) for an executive with payment due at the end of the class At December 31,$4,200 of the tuition has been earned by PTI 9. PTI's two employees are paid weekly. As of the end of the year, two days' salaries have accrued at the rate of $240 per day for each employee. h. The balance in the Prepaid Rent account represents rent for December. For transactions ah, review the unadjusted balance and prepare the adjusting entry necessary to correctly report the revenue earned or the expense incurred. Each adjustment is posted automatically to the general ledger and trial balance as soon as you click "record entry'. Journal entry worksheet An analyais of PTI's insurance policies shows that $2,850 of coverage has expired. Note. Enter deitate before credats