a. The unadjusted balance in Office supplies was $700 at December 31, 2010. The unadjusted balance in Supplies expense was $0 at December 31, 2010. A year-end count showed $200 of supplies on hand.
b. Wages earned by employees during December 2010, unpaid and unrecorded at December 31, 2010, amounted to $3,000. The last paychecks were issued December 28; the next payments will be made on January 6, 2011. The unadjusted balance in Wages expense was $36,000 at December 31, 2010.
c. A portion of the store's basement is now being rented for $1,000 per month to K. Frey. On November 1, 2010, the store collected six months' rent in advance from Frey in the amount of $6,000. It was credited in full to Unearned Rent Revenue when collected. The unadjusted balance in Rent Revenue was $0 at December 31, 2010.
d. The store purchased delivery equipment at the beginning of the year. The estimated depreciation for 2010 is $6,000, although none has been recorded yet.
e. On December 31, 2010, the unadjusted balance in Prepaid insurance was $3,000. This was the amount paid in the middle of the year for a two-year insurance policy with coverage beginning on July 1, 2010. The unadjusted balance in Insurance Expense was $700, which was the cost of insurance from January 1 to June 30, 2010.
Indicate the account names and adjusted balances that should be reported on Jaworski's year-end balance sheet and income statement.