Terry Thomas opens the Green Thumb Lawn Care Company on April 1. At April 30, the trial balance shows the following balances for selected accounts. Prepaid Insurance $3,600 Equipment 28,000 Notes Payable 20,000 Unearned Revenue 4,200 Service Revenue 1,800 Analysis reveals the following additional data. 1. Prepaid insurance is the cost of a 2-year insurance policy, effective April 1. 2. Depreciation on the equipment is $500 per month. 3. The note payable is dated April 1. It is a 6-month, 12% note. 4. Seven customers paid for the companys 6 months lawn service package of $600 beginning in April. The company performed services for these customers in April. 5. Lawn services provided other customers but not recorded at April 30 totaled $1,500.

Required: Prepare the adjusting entries for the month of April. Show computations.