Greco Resort opened for business on June 1 with eight air-conditioned units. Its trial balance on August 31 is as follows.

GRECO RESORT TRIAL BALANCE AUGUST 31, 2017
Contents	Debit	Credit
Cash	$ 19, 600
Prepaid Insurance	4500
Supplies	2600
Land	20,000
Buildings	1,20,000
Equipments	16, 000
Accounts Payable		$ 4,500
Unearned Rent Revenue		4,600
Mortgage Payable		60, 000
Common Stock		91,000
Retained Earnings		9,000
Dividends	5,000
Rent Revenue		76,200
Salaries and Wages Expense	44,800
Utilities Expenses	9,200
Maintenance and Repairs Expense	3,600
Total	$245,300	$245,300

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 $450 of supplies on hand.

3. Annual depreciation rates are buildings (4%) and equipment (10%). Salvage value is estimated to be 10% of cost.

4. Unearned Rent Revenue of $3,800 was earned prior to August 31.

5. Salaries of $375 were unpaid at August 31.

6. Rentals of $800 were due from tenants at August 31.

7. The mortgage interest rate is 8% per year.

Instructions:

(a) Journalize the adjusting entries on August 31 for the 3-month period June 1August 31. (Omit explanations.)

(b) Prepare an adjusted trial balance on August 31.