GL$0302($Algo$)-$ Based on Problem $3-3$A LO P$1,$ P$2,$ P$3,$ P$4,$ P$5$

Turner Technical Institute $($TTI$),$ a school owned by Tony Turner, provides training to individuals who pay tuition directly to the school.

TTI also offers training to groups in off$-$site locations. Its unadjusted trial balance as of December $31,2022,$ is found on the trial balance

tab. TTI 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 TTI's insurance policies shows that $$2,600$ of coverage has expired.

b$.$ An inventory count shows that teaching supplies costing $$3,680$ are available at year$-$end.

c$.$ Annual depreciation on the equipment is $$4,400.$

d$.$ Annual depreciation on the professional library is $$8,200.$

e$.$ On November $1,$ TTI agreed to do a special 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 months' fees in advance. When the cash was received, the Unearned Training

Fees account was credited.

f$.$ On October $15,$ TTI agreed to teach a four$-$month class $($beginning immediately$)$ for an executive with payment due at the end of

the class. At December $31,$$$3,200$ of the tuition has been earned by TTI.

g$.$ TTI'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. Answer is not complete.

$\backslash$table$[[$Requirement$,\backslash$table$[[$General$],[$Journal$]],\backslash$table$[[$General$],[$Ledger$]],$Trial Balance,$\backslash$table$[[$Income$],[$Statement$]],\backslash$table$[[$St of Retained$],[$Earnings$]],$Balance Sheet,$\backslash$table$[[$Impact on$],[$income$]]]]$

For each adjustment, indicate the income statement and balance sheet account affected, and the impact on net income. If an adjustment caused net income to decrease, enter the amount as a negative value. Net income before adjustments can be found on the income statement tab. $($Hint: Select unadjusted on the drop$-$down.$)$

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Adjusted

$\backslash$table$[[$Adjusting entry related to:$,$Account affecting the:,$\backslash$table$[[$Impact on$],[$net income$]]],[$Income statement,Balance Sheet$],[$a$.$ Insurance,Insurance expense,Prepaid insurance,$(2,600)$vv$],[$b$.$ Teaching supplies,Teaching supplies expense,Teaching supplies,$1,740\backslash$times $],[\backslash$table$[[$c$.$ Depreciation $-],[$equipment$]],\backslash$table$[[$Depreciation expense $-],[$Equipment$]],\backslash$table$[[$Accumulated depreciation $-],[$Equipment$]],17,600\backslash$times $],[$d$.$ Depreciation $-$ library,$\backslash$table$[[$Depreciation expense $-],[$Professional library$]],\backslash$table$[[$Accumulated depreciation $-],[$Professional library$]],(16,400)\backslash$times $],[$e$.$ Training fees,Training fees earned,Unearned training fees,$29,000\backslash$times $],[$f$.$ Tuition,Tuition fees earned,Accounts receivable,$130,000\backslash$times $],[$g$.$ Salaries,Salaries expense,Salaries payable,$51,600\backslash$times $],[$h$.$ Rent,Rent expense,Prepaid rent,$3,000\backslash$times $],[$Total impact on income due to adjustments,$$,213,940],[$Net income before adjustments,$],[$Net income after adjustments,$],[,,,0]]$