Problem 1 - Adjusting Entries (15 points) The following information for TL&MA Company is available on June 30, 2016, the end of a monthly accounting period. You are to prepare the necessary adjusting journal entries for TL&MA Company for the month of January for each situation given. Appropriate adjusting entries had been recorded in previous months. You may omit journal entry explanations. 1. Lance Company purchased a 3-year insurance policy on March 1, 2016, and debited Prepaid Insurance for $7,200. 2. On January 1, 2016, a tenant in an apartment building owned by TL&MA Company paid $5,400, which represents six months' rent in advance. The amount received was credited to the Unearned Rent account. 3. On June 1, 2016, the balance in the Office Supplies account was $100. During June, office supplies costing $600 were purchased. A physical count of office supplies at June 30 revealed that there was $250 still on hand. 4. On March 31, 2016, TL&MA Company purchased a delivery van for $42,000. It is estimated that the annual depreciation will be $8,400. 5. TL&MA Company has two office employees who earn $80 and $90 per day, respectively. They are paid each Friday for a five-day workweek that begins each Monday. June 30 is a Thursday in 2016