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

TAMARISK RESORT

TRIAL BALANCE

AUGUST 31, 2020

Debit

Credit

Cash $24,400

Prepaid Insurance 9,300

Supplies 7,400

Land 22,000

Buildings 122,000

Equipment 18,000

Accounts Payable $9,300

Unearned Rent Revenue 9,400

Mortgage Payable 62,000

Common Stock 97,800

Retained Earnings 9,000

Dividends 5,000

Rent Revenue 78,200

Salaries and Wages Expense 44,800

Utilities Expenses 9,200

Maintenance and Repairs Expense 3,600

$265,700

$265,700

Other data:

1. The balance in prepaid insurance is a one-year premium paid on June 1, 2020.

2. An inventory count on August 31 shows $447 of supplies on hand.

3. Annual depreciation rates are

(a) buildings (4%)

(b) equipment (10%).

Salvage value is estimated to be 10% of cost.

4. Unearned Rent Revenue of $3,829 was earned prior to August 31.

5. Salaries of $382 were unpaid at August 31.

6. Rentals of $789 were due from tenants at August 31. (Use Accounts Receivable account.)

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

Collapse question part

(a)

Journalize the adjusting entries on August 31 for the 3-month period June 1-August 31. (Round answers to the nearest whole dollar, e.g. 5,275. Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No entry" for the account titles and enter 0 for the amounts.)

No.

Date

Account Titles and Explanation

Debit

Credit

1.

Aug. 31

2.

Aug. 31

3. (a)

Aug. 31

3. (b)

Aug. 31

4.

Aug. 31

5.

Aug. 31

6.

Aug. 31

7.

Aug. 31