The Highland Cove Resort has a May 31 fiscal year end and prepares adjusting entries on a monthly basis. The following trial balance was prepared before recording the May 31 month-end adjustments:

HIGHLAND COVE RESORT Trial Balance May 31, 2021
	Debit		Credit
Cash	$16,400
Prepaid Insurance	1,560
Supplies	915
Land	30,000
Buildings	150,000
Accumulated DepreciationBuildings			$47,750
Furniture	33,000
Accumulated DepreciationFurniture			12,925
Accounts Payable			7,400
Unearned Revenue			15,300
Mortgage Payable			74,400
K. MacPhail, Capital			89,500
K. MacPhail, Drawings	42,665
Service Revenue			252,940
Depreciation Expense	5,775
Insurance Expense	5,720
Interest Expense	6,820
Repairs Expense	14,400
Salaries Expense	154,960
Supplies Expense	4,400
Utilities Expense	33,600
	$500,215		$500,215

Additional information:

1.		The company pays $6,240 for its annual insurance policy on July 31 of each year.
2.		A count shows $530 of supplies on hand on May 31, 2021.
3.		The building has an estimated useful life of 50 years.
4.		The furniture has an estimated useful life of 10 years.
5.		Two thirds of the unearned revenue have been earned.
6.		The mortgage interest rate is 10.0% per year. Interest has been paid to May 1, 2021.
7.		Salaries accrued to the end of May were $1,450.
8.		The May utility bill of $3,120 is unrecorded and unpaid.

a. Prepare T accounts and enter the unadjusted trial balance amounts

b(1). Prepare the monthly adjusted journal entries on May 31

b(2). Post the monthly adjusted journal entries on May 31

c. Prepare an adjusted trial balance at May 31

d. Prepare an income and a statement of owner's equity for the year ended May 31, and a balance sheet as at May 31. 2021