Recurring Journal Entries:

Based on the following determine the monthly adjusting journal entry and create a recurring journal entry dated Aug. $1,2026.$ Note all previous monthly journal entries have been done to july $31,2026($do not record any transaction for the period January$1$ to July $31,2026).$ Each item is a separate journal entry $($do three journal entries$).$ The source code is ADJ followed by a number. $1$ Enter ADJ$-1,$ Prepaid Expenses consist of an insurance policy purchased on May $1,2026,$for $$1,704\mathrm{.}00$ for $1$ year. The insurance policy is valid for June $1,2026,$ to May $31,2027.$

$2.$ Enter ADJ$-2,$ The office equipment is depreciated using straight$-$line method. The equipment is expected to last $12$ years with an estimated salvage value of $$600.$

$3.$ Enter ADJ$-3,$ The warehouse equipment is depreciated using the double$-$declining method. The amortization for the year has been calculated to be $$8,472.$