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The Sandhill Hotel opened for business on May 1, 2022. Here is its trial balance before adjustment on May 31. SANDHILL HOTEL Trial Balance May
The Sandhill Hotel opened for business on May 1, 2022. Here is its trial balance before adjustment on May 31. SANDHILL HOTEL Trial Balance May 31, 2022 Debit Credit Cash $2.523 Supplies 2,600 Prepaid Insurance 1,800 Land 15,023 Buildings 72,400 Equipment 16,800 Accounts Payable $4.723 3.300 38,400 60.023 Unearned Rent Revenue Mortgage Payable Common Stock Rent Revenue Salaries and Wages Expense Utilities Expense Advertising Expense 9,000 3,000 800 500 $115,446 $115,446 Other data: 1 2. 3. Insurance expires at the rate of $300 per month. A count of supplies shows $1,190 of unused supplies on May 31 (a) Annual depreciation is $3,240 on the building, (b) Annual depreciation is $2,640 on equipment. The mortgage interest rate is 5%. (The mortgage was taken out on May 1) Unearned rent of $2,600 has been earned. Salaries of $770 are accrued and unpaid at May 31. 4 5. 6. Journalize the adjusting entries on May 31. (if no entry is required, select "No Entry for the account titles and enter for the amounts. Credit account titles are automatically indented when the amount is entered. Do not indent manually.) No. Account Titles and Explanation Debit Credit 1. 2 3a). 3 [b). LA 4 5. 6
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