Gary Smith organized Safe Storage on January 1 for the purpose of leasing a large vacant building and renting space in this building to others for storage of industrial materials. The accounting policies of the company call for making adjusting entries and closing the accounts each month. Shown below is a trial balance and other information for use in preparing adjusting entries at January 31. SAFE STORAGE Trial Balance January 31, 19_ Cash $ 8,105 Unexpired Insurance 4,080 Office Supplies 405 Office Equipment 7,200 Notes Payable Unearned Storage fees Gary Smith, Capital Gary Smith, Drawing 450 Storage fees earned Rent expense 1,800 Telephone expense 135 Salaries expense 2,820 $24,995 $3.000 1,350 11,795 8,850 $24,995 a. Other data: The monthly insurance expense amounted to $400. b. The amount of office supplies on hand, based on a physical count on January 31, was $195. c. A $3.000 one-year note payable was signed on January 1. Interest accrued at January 31 was $30. d. The useful life of office equipment was estimated at 8 years. e. Certain clients chose to pay several months' storage fees in advance. It was determined that $480 of such fees was still unearned as of January 31, f. Several clients neglected to send in storage fees amounting to $330 for the month of January. These amounts have not been recorded but are considered collectible. g. Salaries earned by employees but not yet paid amounted to $240. Required: a. Based on the above trial balance and other information, prepare the adjusting entries (with explanations) needed at January 31. b. Prepare an adjusted trail balance