Green Valley Company prepared the following trial balance at the end of its first year of operations ending December 31. To simplify the case, the amounts given are in thousands of dollars.

	UNADJUSTED
Account Titles	Debit		Credit
Cash	22
Accounts receivable	19
Prepaid insurance	14
Machinery	81
Accumulated depreciation
Accounts payable			15
Wages payable
Income taxes payable
Common stock (4,000 shares)			4
Additional paid-in capital			61
Retained earnings	13
Revenues (not detailed)			98
Expenses (not detailed)	29
Totals	178		178

Other data not yet recorded at December 31 include

1. Insurance expired during the current year, $12.
2. Wages payable, $13.
3. Depreciation expense for the current year, $15.
4. Income tax expense, $7
5. 1. Prepare the adjusting entries for the current year.

6. 2. Complete the trial balance Adjustments and Adjusted columns. The Ref. column is for the reference letter of the adjusting entry effect.

7. Complete the trial balance Adjustments and Adjusted columns. The Ref. column is for the reference letter of the adjusting entry effect. (For revenues and expenses enter the total amount of adjustments in the adjusted column. Enter your answers in thousands.)

   GREEN VALLEY COMPANY Trial Balance December 31, Current Year Unadjusted Adjustments Adjusted Account Titles Debit Credit Ref. Debit Credit Debit Credit Cash 22 22 Accounts receivable 19 19 Prepaid insurance 14 13 1 Machinery 81 81 Accumulated depreciation 15 15 Accounts payable 15 15 Wages payable 13 13 Income taxes payable 7 7 Common stock 4 4 Additional paid-in capital 61 61 Retained earnings 13 13 Revenues (not detailed) 98 98 Expenses (not detailed) 29 18 47 Totals 178 178 18 48 183 213