Exercise 3-10 (Part Level Submission) Pearl Resort opened for business on June 1 with eight air-conditioned units. Its trial balance on August 31 is as follows. PEARL RESORT TRIAL BALANCE AUGUST 31, 2017 Debit Credit Cash Prepaid Insurance Supplies $24,700 9,600 7,700 24,000 124,000 20,000 Land Buildings Equipment Accounts Payable Unearned Rent Revenue Mortgage Payable Common Stock Retained Earnings Dividends Rent Revenue Salaries and Wages Expense Utilities Expenses Maintenance and Repairs Expense $9,600 9,700 64,000 100,100 9,000 5,000 80,200 44,800 9,200 3,600 $272,600 Totals $272,600 Other data: 1. The balance in prepaid insurance is a one-year premium paid on June 1, 2017. 2. An inventory count on August 31 shows $467 of supplies on hand. 3. Annual depreciation rates are (a) buildings (4%) (b) equipment (10%). Salvage value is estimated to be 10% of cost. 4. Unearned Rent Revenue of $3,476 was earned prior to August 31. 5. Salaries of $346 were unpaid at August 31. 6. Rentals of $802 were due from tenants at August 31. (Use Accounts Receivable account.) 7. The mortgage interest rate is 8% per year. Journalize the adjusting entries on August 31 for the 3-month period June 1-August 31. (Round answe not indent manually. If no entry is required, select "No entry" for the account titles and enter Debit Credit No. 1. Date Account Titles and Explanation Aug. 31 Insurance Expense 2400 T Prepaid Insurance 2400 2. Aug. 31 Supplies Expenses 7233 Supplies 3. (a) Aug. 31 Depreciation Expense inse 1116 Accumulated Depreciation-Building T 1116 16 3. (b) Aug. 31 Depreciation Expense Accumulated Depreciation Equipment 4. Aug. 31 Unearned Rent Revenue T T 3476] ) 346 Salaries and Wages Payable U 346 I Rent Revenue Aug. 31 salaries and Wages Expense Salaries and Wages Payable Aug. 31 Taccounts Receivable Rent Revenue Aug. 31 Interest Expense 31 interest Expense Interest Payable 1 T 346 1 8 02 1 1280 T T Rent Revenue 8 02 7. T i Interest Payable 1280 Prepare an adjusted trial balance on August 31. PEARL RESORT Adjusted Trial Balance August 31, 2017 Debit Credit Totals