Blue Spruce Corp. is the new owner of Blue Spruces Computer Services. At the end of July 2017, her first month of ownership, Blue Spruce is trying to prepare monthly financial statements. She has the following information for the month.

1. At July 31, Blue Spruce owed employees $2,260 in salaries that the company will pay in August.

2. On July 1, Blue Spruce borrowed $22,500 from a local bank on a 11-year note. The annual interest rate is 8%.

3. Service revenue unrecorded in July totaled $1,600.

Prepare the adjusting entries needed at July 31, 2017.