E3-8 The ledger of Bourque Rental Agency on March 31, 2008, includes the following selected Prepare adjust. Exercises accounts before preparing quarterly adjusting entries: (SO 2, 3) AP Debit Credit Prepaid insurance Supplies $ 3,600 2,800 Equipment 21,600 Accumulated amortization equipment $ 5,400 Unearned rent revenue 9,300 Notes payable 20,000 Rent revenue 60,000 Wages expense 14,000 An analysis of the accounts shows the following: 1. The equipment has a six-year useful life. 2. One-third of the unearned rent is still unearned at the end of the quarter. 3. The note payable has an interest rate of 6%. Interest is paid every June 30 and December 31, 4. Supplies on hand total $850. 5. The one-year insurance policy was purchased on October 31, 2007. (Hint: The correct adjusting entry was recorded on December 31, 2007.) 6. As of March 31, a tenant owed Bourque $700 for the month of March