Reference no: EM133379887

Question: Wellan Company had just completed its October 31st year end. The following are some of the unadjusted account balances from its October 31, 2021 unadjusted trial balance: Office supplies inventory 6,000 Dr Office equipment 120,000 Dr Unearned consulting fees 45,000 Cr Wages payable 3,600 Cr Consulting fees earned 364,000 Cr Insurance expense 24,000 Dr Supplies expense 18,000 Dr Wages expense 178,000 Dr The following additional information is available at year end: The office equipment noted above was purchased on August 1, 2021. It was estimated to have a useful life of 5 years. It was determined that $25,000 of the consulting fees remains unearned by October 31, 2021. The company only has 40 employees. Each employee receives $500 per day and works five days a week (Monday to Friday). Last pay day was Friday, October 27, 2021. The salary expense was paid and recorded on November 3, 2021. During 2021, supplies amounting to $18,000 were purchased for cash and debited to supplies expense. At the end of fiscal 2021, the inventory of supplies remaining on hand (unused) was $4,000. On June 1, 2021, a one-year insurance premium on the office equipment in the amount of $12,000 was paid and debited