The Moto Hotel opened for business on May 1, 2017. Here is its trial balance before adjustment on May 31.

MOTO HOTEL Trial Balance May 31, 2017
		Debit			Credit
Cash		$ 2,593
Supplies		2,600
Prepaid Insurance		1,800
Land		15,093
Buildings		72,400
Equipment		16,800
Accounts Payable					$ 4,793
Unearned Rent Revenue					3,300
Mortgage Payable					38,400
Common Stock					60,093
Rent Revenue					9,000
Salaries and Wages Expense		3,000
Utilities Expense		800
Advertising Expense		500
		$115,586			$115,586

Other data:

1.		Insurance expires at the rate of $360 per month.
2.		A count of supplies shows $1,150 of unused supplies on May 31.
3.		(a) Annual depreciation is $3,600 on the building.
		(b) Annual depreciation is $3,000 on equipment.
4.		The mortgage interest rate is 5%. (The mortgage was taken out on May 1.)
5.		Unearned rent of $2,630 has been earned.
6.		Salaries of $750 are accrued and unpaid at May 31.

1. Journalize the adjusting entries on May 31. (If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. Credit account titles are automatically indented when the amount is entered. Do not indent manually.) 2.Prepare a ledger using T-accounts. Enter the trial balance amounts and post the adjusting entries. (Post entries in the order of journal entries presented in the previous question.)

3. Prepare an adjusted trial balance on May 31.

4. Prepare an income statement for the month of May.

5. Prepare a retained earnings statement for the month of May.

6. Prepare a classified balance sheet at May 31. (List current assets in order of liquidity. List Property, Plant and Equipment in order of Land, Buildings and Equipment .)

7. Identify which accounts should be closed on May 31.