Exercise 1:

Exercise 2:

The highlighted cells are incorrect. Please help me to correct them. I'll make sure to click the thumbs up afterwards. Thanks!

Transactions Dec. 1 Issued common stock for $20,700 cash. N 2 3 5 10 15 15 Billed clients for $13,200 of work performed Received payment of $9,900 in advance for work to be performed. Paid rent in advance of $11,000 to cover December through March rent. Bought furniture, paying $3,700 cash and $5,500 notes payable. Received $4,700 from accounts receivable. Incurred salaries expense of $18,200 to be paid at a future date. Paid $610 toward their Accounts Payable. Made an adjustment for revenue of $9,900 that was prepaid and had been earned. Adjusted for rent expired during December Adjusted for depreciation on furniture, $180. Paid salaries payable and incurred another $18,200 of salaries expense to be paid next month. Post the salaries paid first. 16 31 31 31 31 31 Paid $1,300 in Dividends. Prepaid Rent Date Explanation Ref. Debit Credit Balance Balance 0 0 Dec. 5 Paid rent in advance 11,000 11,000 Dec. 31 Adjusting Entry - rent expired 11,000 Furniture Date Explanation Ref. Debit Credit Balance Balance 19,300 19,300 Dec. 10 Bought furniture 5,500 5,500 Accumulated Depreciation - Furniture Date Explanation Ref. Debit Credit Balance Balance 4,300 4,300 Dec 31 Adjusting Entry-depreciation 180 4,120 Accounts Payable Date Explanation Ref. Debit Credit Balance Balance 7,700 7,700 Dec. 16 Paid on accounts payable 610 7,090 Salaries Payable Date Explanation Ref. Debit Credit Balance Balance 0 0 Dec. 15 Incurred salaries expense 18,200 18,200 Dec. 31 Paid salaries payable 18,200 54,600 Dec. 31 Incurred salaries expense 18,200 Unearned Revenue Date Explanation Ref. Debit Credit Balance Balance 0 0 Dec. 3 Received cash in advance for service to 9,900 9,900 Dec. 31 Earned prepaid revenue 9,900 9,900 Notes Payable Date Explanation Ref. Debit Credit Balance Balance 23,500 23,500 Dec 10 Bought furniture 5,500 41,500 Common Stock Date Explanation Ref. Debit Credit Balance Balance 4,800 4,800 Dec. 1 Issued common stock 20,700 20,700 Dividends Date Explanation Ref. Debit Credit Balance Balance 0 0 Dec. 31 Paid dividends 1,300 1,300 Service Revenue Date Explanation Ref. Debit Credit Balance Balance 0 0 Dec. 2 Billed clients for work performed 13,200 13,200 Dec. 31 Earned prepaid revenue Depreciation Expense - Furniture Date Explanation Ref. Debit Credit Balance Balance 0 Dec. 31 v Adjusting Entry - depreciation Rent Expense Date Explanation Ref. Debit Credit Balance Balance 0 0 Dec. 31 v Adjusting Entry - rent expired 18,200 18,200 Salaries Expense Date Explanation Ref. Debit Credit Balance Balance 0 0 Dec. 15 Incurred salaries expense 18200 18200 Dec. 31 Incurred salaries expense 18200 36400 Smart Touch Learning Adjusted Trial Balance December 31, 2016 Balance Account Title Debit Credit Cash Accounts Receivable Prepaid Rent Furniture Accumulated Depreciation--Furniture Accounts Payable Salaries Payable 18200 Notes Payable Common Stock Dividends 1300 Service Revenue Depreciation Expense--Furniture 180 Rent Expense Salaries Expense Total SMART TOUCH LEARNING Adjusted Trial Balance December 31, 2016 Account Title Balance Debit Credit Cash 15,500 Accounts Receivable 8,100 Office Supplies 2,700 Prepaid Rent 10,000 Furniture 17,300 Accumulated Depreciation--Furniture 6,300 Accounts Payable 1,800 Salaries Payable 900 Utilities Payable 1,800 Unearned Revenue 5,400 Notes Payable 7,300 Common Stock 58,800 Dividends 21,500 Service Revenue 9,100 Depreciation Expense-Furniture 3,600 Utilities Expense 900 Rent Expense 4,500 Salaries Expense 5,400 Supplies Expense 1,800 Total 91,400 91,400 Assets II Liabilities + Common Stock Dividends Revenues Expenses 17200 58800 21500 9100 16200