Assessing Financial Statement Effects of Transactions and Adjustments Selected accounts of Portage Properties, a real estate management firm, are shown below as of January 31, before any accounts have been adjusted.

Debit Credit Prepaid insurance. . . . . . . . . . . . . . . . . . . . $3,240 Supplies . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,540 Office equipment . . . . . . . . . . . . . . . . . . . . 6,240 Unearned rent revenue. . . . . . . . . . . . . . . . $ 5,550 Salaries expense . . . . . . . . . . . . . . . . . . . . 2,325 Rent revenue . . . . . . . . . . . . . . . . . . . . . . . 13,250 Portage Properties prepares monthly financial statements. Using the following information, adjust the accounts as necessary on January 31 using the financial statement effects template.

a. Prepaid insurance represents a two-year premium paid on January 1.

b. Supplies of $710 were still available on January 31.

c. Office equipment is expected to last eight years (or 96 months).

d. Earlier this month, on January 1, Portage collected $5,550 for six months’ rent in advance from a tenant renting space for $925 per month.

e. Salaries of $490 have been earned by employees but not yet recorded as of January 31.