(a) Journalize the adjusting entries on August 31 for the 3-month period June 1–August 31. GENERAL JOURNAL J1 Date Account Titles and Explanation Reference Debit Credit 2008 Adjusting Entries Aug. 31 Insurance Expense7221,200 Prepaid Insurance1301,200 (To record insurance expired)31 Supplies Expense6312,700 Supplies1262,700 (To record supplies used)31 Depreciation Expense-Cottages6201,500 Depreciation Expense-Furniture621600 Accumulated Depreciation-Cotta1441,500 Accumulated Depreciation-Furn150600 (To record depreciation)31 Unearned Rent2084,100 Rent Revenue4294,100 (To record revenue for rent earned)31 Salaries Expense726400 Salaries Payable212400 (To record accrued salaries)31 Accounts Receivable1121,000 Rent Revenue4291,000 (To record revenue for rent due)31 Interest Expense718600 Interest Payable230600 (To record interest on notes payable)(b) Prepare a ledger using the three-column form of account. Enter the trial balance amounts and post the adjusting entries. (Use J1 as the posting reference.) GENERAL LEDGER Cash No. 101 Mortgage Payable No. 275 Date ExplanationReference Debit Credit Balance Date ExplanationReference Debit Credit Balance 2008 2008 Aug. 31 19,600 19,600 Aug. 31 80,000 80,000 Accounts Receivable No. 112 Common Stock No. 311 Date
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