1. Envirocan Resources prepares adjusting entries monthly. In reviewing the accounts on March 31, Envirocan Resources discovered the following:

1. Interest of $1,080 had accrued on the note payable as at March 31. It is to be paid on April 2.
2. Unpaid and unrecorded salaries at March 31 totalled $33,150. The $33,150 plus salaries of $22,200 for the first four days of April were paid on April 4.
3. The March telephone bill for $470 is unpaid and unrecorded at March 31. It is to be paid on April 15.
4. Envirocan normally pays rent in three-month installments. At March 31, rent of $4,500 per month had not been paid for February, March, or April. Rent of $4,500 was correctly accrued at the end of February. The balance owing plus rent for May, June, and July was paid on April 26.
5. Envirocan pays commissions to the technicians at the rate of 4% of services performed. During March, total services performed were $440,000. Commissions are unrecorded and unpaid at March 31. Commissions are paid on the 15th of the following month.

Required: Using the information provided above, prepare the monthly adjusting journal entries at March 31 along with the appropriate subsequent cash entries.

1. $5,200 of the balance in Prepaid Office Rent had not been used as at December 31, 2020.
2. $1,140 of the balance in Prepaid Subscriptions had been used as at December 31, 2020.
3. The company paid $33,840 on April 1, 2020, to rent equipment for a three-year period beginning April 1, 2020.