Q3: Faran Motel opened for business on May 1, 2020. Its trial balance before adjustment on May 31 is as follows. Faran Motel Trial Balance May 31, 2020 Credit Debit Rs.3,500 2,080 2.400 12.000 60,000 15,000 Account cash Supplies Prepaid insurance Land Building Equipment Accounts payable Unearned rent revenue Notes payable Owners capital Rent revenue Advertising expense Salaries and wages expense Utilities expense Rs.4,800 3,300 40,000 41,380 10,300 600 3,300 900 Rs.99,780 Rs.99,780 In addition to those accounts listed on the trial balance, the chart of accounts for Faran Motel also contains the following accounts. Accumulated Depreciation Buildings. Accumulated Depreciation Equipment, Salaries and Wages Payable, Interest Payable, Depreciation Expense, Supplies Expense, Interest Expense, and Insurance Expense. Other data: 1. Prepaid insurance is a 1-year policy starting May 1, 2020. 2. A count of supplies shows Rs.750 of unused supplies on May 31. 3. Annual depreciation is Rs.3,000 on the buildings and Rs.1,500 on equipment. 4. The interest rate on notes payable is 12%. 5. Two-thirds of the unearned rent revenue has been earned. 6. Salaries of Rs.750 are accrued and unpaid at May 31. Instructions: (a) Journalize the adjusting entries on May 31. (b) Prepare an adjusted trial balance on May 31. (c) Prepare an income statement and an owner's equity statement for the month of May and a Balance sheet at May 31. (05+05+05= 15 Marks) a