Exam II Review Burke, Pinder & Thompson opened the Wildcat's Resort & Spa. The Wildcat's Resort & Spa consists of twelve suites located ten miles from Bethune Cookman University. The unadjusted trial balance on December 1 is as follows: WILDCAT'S RESORT & SPA Unadjusted Trial Balance December 31, 2018 Cash Debit $174,400 Credit Accounts Receivable 26,800 Prepaid Insurance 8,400 Supplies 4,200 Land 152,000 Hotel Suites 461,400 Accum. Depreciation. Hotel Suite 42,600 Furniture 76,000 Accum. Depreciation. Furniture 12,800 Account Payable 34,500 Unearned Rent Revenue 9.200 Mortgage Payable 296,000 Salaries Payable Interest Payable Common Stock 150,000 Retained Earnings 186,000 Dividends 18,000 Rent Revenue 284,600 Other Revenues 52,800 Salaries Expense 86,400 Utilities Expense 48,600 Repair Expense 12,300 Insurance Expense Supplies Expense Depreciation Expense Miscellaneous Expense Interest Expense Total $1.068.500 $1.068.500 Other data: a) The balance in the Prepaid Insurance is a three-year premium. b) A count of Supplies on December 31, shows $1,800 of supplies on hand. c) Annual depreciation is $21,600 on Hotel Suite and $4,560 on Furniture. d) Unearned rent of $4,300 earned prior to December 31, was not recorded e ) Salaries of $5,600 were unpaid at December 31. f) Interest on the mortgage is $32,600 annually. g) Rentals of $2,800 were due from tenants at December 31. Instructions (A) Prepare adjusting entries for the year ended December 31. (B) Prepare an adjusted trail balance on December 31. (C) Prepare an Income Statement a Statement of Retained Earnings and the Balance Sheet. Part II Prepare the following adjusting and correcting entries: A) Interest on notes receivable of $1,500 is accrued B) The purchase of equipment on account for $3,800 was recorded as a debit to Supplies expense for $3,800 and a credit to Accounts payable for $3,800 C) Bad debt expense for the year is $2,800 D) Dividend of $562 was debited to Wages Expense for $562 and credited to Cash for $562