Mac's Motel opened for business on May 1, 2017. Its trial balance before adjustment on May 31 is as follows.

MAC'S MOTEL Trial Balance May 31, 2017
Account Number				Debit		Credit
101		Cash		$ 3,400
126		Supplies		2,050
130		Prepaid Insurance		3,000
140		Land		13,000
141		Buildings		60,600
149		Equipment		15,300
201		Accounts Payable				$ 4,900
208		Unearned Rent Revenue				3,390
275		Mortgage Payable				40,000
301		Owners Capital				41,000
429		Rent Revenue				12,760
610		Advertising Expense		650
726		Salaries and Wages Expense		3,200
732		Utilities Expense		850
				$102,050		$102,050

In addition to those accounts listed on the trial balance, the chart of accounts for Mac's Motel also contains the following accounts and account numbers: No. 142 Accumulated DepreciationBuildings, No. 150 Accumulated DepreciationEquipment, No. 212 Salaries and Wages Payable, No. 230 Interest Payable, No. 619 Depreciation Expense, No. 631 Supplies Expense, No. 718 Interest Expense, and No. 722 Insurance Expense. Other data:

1.		Prepaid insurance is a 1-year policy starting May 1, 2017.
2.		A count of supplies shows $700 of unused supplies on May 31.
3.		Annual depreciation is $3,036 on the buildings and $1,536 on equipment.
4.		The mortgage interest rate is 12%. (The mortgage was taken out on May 1.)
5.		Two-thirds of the unearned rent revenue has been earned.
6.		Salaries of $800 are accrued and unpaid at May 31.

Journalize the adjusting entries on May 31. (Credit account titles are automatically indented when the amount is entered. Do not indent manually.)

No.	Date	Account Titles and Explanation	Debit	Credit
1.	May 31
2.	May 31
3.	May 31
4.	May 31
5.	May 31
6.	May 31

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Prepare a ledger using the three-column form of account. Enter the trial balance amounts into the balance column and then post the adjusting entries.

Cash					No. 101
Date	Explanation	Ref.	Debit	Credit	Balance
May 31	Balance
Supplies					No. 126
Date	Explanation	Ref.	Debit	Credit	Balance
May 31	Balance
May 31	Adjusting	J1
Prepaid Insurance					No. 130
Date	Explanation	Ref.	Debit	Credit	Balance
May 31	Balance
May 31	Adjusting	J1
Land					No. 140
Date	Explanation	Ref.	Debit	Credit	Balance
May 31	Balance
Buildings					No. 141
Date	Explanation	Ref.	Debit	Credit	Balance
May 31	Balance
Accumulated DepreciationBuildings					No. 142
Date	Explanation	Ref.	Debit	Credit	Balance
May 31	Adjusting	J1
Equipment					No. 149
Date	Explanation	Ref.	Debit	Credit	Balance
May 31	Balance
Accumulated DepreciationEquipment					No. 150
Date	Explanation	Ref.	Debit	Credit	Balance
May 31	Adjusting	J1
Accounts Payable					No. 201
Date	Explanation	Ref.	Debit	Credit	Balance
May 31	Balance
Unearned Rent Revenue					No. 208
Date	Explanation	Ref.	Debit	Credit	Balance
May 31	Balance
May 31	Adjusting	J1
Salaries and Wages Payable					No. 212
Date	Explanation	Ref.	Debit	Credit	Balance
May 31	Adjusting	J1
Interest Payable					No. 230
Date	Explanation	Ref.	Debit	Credit	Balance
May 31	Adjusting	J1
Mortgage Payable					No. 275
Date	Explanation	Ref.	Debit	Credit	Balance
May 31	Balance
Owners Capital					No. 301
Date	Explanation	Ref.	Debit	Credit	Balance
May 31	Balance
Rent Revenue					No. 429
Date	Explanation	Ref.	Debit	Credit	Balance
May 31	Balance
May 31	Adjusting	J1
Advertising Expense					No. 610
Date	Explanation	Ref.	Debit	Credit	Balance
May 31	Balance
Depreciation Expense					No. 619
Date	Explanation	Ref.	Debit	Credit	Balance
May 31	Adjusting	J1
Supplies Expense					No. 631
Date	Explanation	Ref.	Debit	Credit	Balance
May 31	Adjusting	J1
Interest Expense					No. 718
Date	Explanation	Ref.	Debit	Credit	Balance
May 31	Adjusting	J1
Insurance Expense					No. 722
Date	Explanation	Ref.	Debit	Credit	Balance
May 31	Adjusting	J1
Salaries and Wages Expense					No. 726
Date	Explanation	Ref.	Debit	Credit	Balance
May 31	Balance
May 31	Adjusting	J1
Utilities Expense					No. 732
Date	Explanation	Ref.	Debit	Credit	Balance
May 31	Balance

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Prepare an adjusted trial balance on May 31.

MAC'S MOTEL Adjusted Trial Balance For the Year Ended May 31, 2017For the Month Ended May 31, 2017May 31, 2017
	Debit		Credit
	$		$
Totals	$		$

SHOW LIST OF ACCOUNTS

Prepare an income statement for the month of May 31.

MAC'S MOTEL Income Statement May 31, 2017For the Month Ended May 31, 2017For the Year Ended May 31, 2017
DividendsExpensesInvestmentNet Income / (Loss)Retained Earnings, June 1Retained Earnings, August 31RevenuesTotal ExpensesTotal Revenues
		$
DividendsExpensesInvestmentNet Income / (Loss)Retained Earnings, June 1Retained Earnings, August 31RevenuesTotal ExpensesTotal Revenues
	$
Dividends Expenses Investment Net Income / (Loss) Retained Earnings, June 1 Retained Earnings, August 31 Revenues Total Expenses Total Revenues
DividendsExpensesInvestmentNet Income / (Loss)Retained Earnings, June 1Retained Earnings, August 31RevenuesTotal ExpensesTotal Revenues		$