Question: RESOLVER ESTE EJERCICIO. E2.10 (LO 3) (Adjusting Entries) Greco Resort opened for business on June 1 with eight airconditioned units. Its trial balance on August
RESOLVER ESTE EJERCICIO. E2.10 (LO 3) (Adjusting Entries) Greco Resort opened for business on June 1 with eight airconditioned units. Its trial balance on August 31 is as follows. 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 Unearned Rent Revenue 4,600 Mortgage Payable 60,000 Common Stock 91,000 Retained Earnings -0- Dividends 5,000 Rent Revenue 76,200 Salaries and Wages Expense 44,800 Utilities Expenses 9,200 Maintenance and Repairs Expense 3,600 $236,300 $236,300 Other data: 1. The balance in prepaid insurance is a one-year premium paid on June 1, 2025. 2. An inventory count on August 31 shows $450 of supplies on hand. 3. Annual depreciation rates are buildings (4%) and equipment (10%). Salvage value is estimated to be 10% of cost. 4. Unearned Rent Revenue of $3,800 was earned prior to August 31. 5. Salaries of $375 were unpaid at August 31. 6. Rentals of $800 were due from tenants at August 31. 7. 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
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