Below are the balances of selected accounts extracted from the unadjusted trial balance of Solar Energy Consulting, a service company.

Account	Unadjusted balance 31 July 20X1
Prepaid rent	$11,000
Supplies	4,000
Equipment	28,800
Accumulated depreciation	3,000

Further information for the month of July. No adjusting entries have been prepared:

1. As of 1 July, the prepaid rent is the amount paid for 11 months rent.
2. Supplies on hand at 31 July is $400
3. The salvage value of the equipment is $7,200 and its useful life is 6 years. Solar uses the straight-line method. Depreciation has not been recorded.
4. Solar pays a weekly salary (5-day week) of $1000 to the janitor. The last pay day falls on 30 July. Solar needs to record salary for 1 day which will be paid on the next pay day in August.

Required: Please show all workings.

1. Prepare the adjusting entries at 31 July. (8 marks)
2. Calculate the adjusted balances for the selected 4 accounts. (2 marks)