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R3-7A Super Motel has a May 31 fiscal year end and prepares adjusting entries on a monthly by sis. The followino trial balance was prepared

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R3-7A Super Motel has a May 31 fiscal year end and prepares adjusting entries on a monthly by sis. The followino trial balance was prepared before recording the May 31 month-end adjustmerni Other data: 1. The company pays $5,460 for its annual insurance policy on September 30 of each year. 2. A count of supplies on May 31 shows $760 of supplies on hand. 3. The lodge was purchased on May 31, 1997, and has an estimated useful life of 40 years. 4. The furniture was purchased on June 1, 2005, and has an estimated useful life of five years. 5. Customers must pay a $50 deposit if they want to book a room in advance during peak times. An analysis of these bookings indicates that 175 deposits were received (all credited to Unearned Rent Revenue) and 60 of the deposits have been earned by May 31, 2008. 6. The mortgage interest rate is 7.5% per year. Interest has been paid to May 1, 2008. The next payment is due on June 1. 7. Salaries accrued to the end of May were $975. 8. The May utility bill of $1,215 is unrecorded and unpaid. 9. On May 28, a local business contracted with Super Motel to rent one of the rooms for four months starting June 1 at a rate of $1,400 per month. An advance payment equal to two months of rent is to be paid on June 1. 10. On May 31 , Super Motel has earned $950 of rent revenue from customers who are currently using the rooms but will not pay the amount owing until they check out in June. This amount is in addition to any deposits earned in item (5) above. Instructions (a) Journalize the monthly adjusting entries on May 31 . (b) Prepare a ledger. Enter the trial balance amounts and post the adjusting entries. (c) Prepare an adjusted trial balance at May 31 . (d) Prepare an income statement and statement of owner's equity for the year ended May 31, and a balance sheet at May 31

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