E$2\mathrm{.}10($LO $3)($Adjusting Entries$)$ Greco Resort opened for business on June $1$ with eight air$-$conditioned units. Its trial balance on August $31$ is as follows.

$\backslash$table$[[\backslash$table$[[$Greco Resort$],[$Trial Balance$],[$August $31,2025]]],[,$Debit,Credit$],[$Cash$,$$$10,600,],[$Prepaid Insurance,$4,500,],[$Supplies$,2,600,],[$Land$,20,000,],[$Buildings$,120,000,],[$Equipment$,16,000,],[$Accounts Payable,,$$4,500$

Other data:

The balance in prepaid insurance is a one$-$year premium paid on June $1,2025.$

An inventory count on August $31$ shows $$450$ of supplies on hand.

Annual depreciation rates are buildings $(4\%)$ and equipment $(10\%).$ Salvage value is estimated to be $10\%$ of

Unearned Rent Revenue of $$3,800$ was earned prior to August $31.$

Salaries of $$375$ were unpaid at August $31.$

Rentals of $$800$ were due from tenants at August $31.$

The mortgage interest rate is $8\%$ per year.

Instructions

a$.$ Journalize the adjusting entries on August $31$ for the $3-$month period June $1-$August $31.($Omit explanations.$)$

b$.$ Prepare an adjusted trial balance on August $31.$