The unexpired insurance at the end of the fiscal period represents a (n)
A) accrued asset
B) accrued liability
C) accrued expense
D) deferred expense

Question

Quizplus · Accepted Answer

The unexpired insurance is a prepaid expense that has not yet been used up or consumed. It represents a deferred expense because it will be recognized as an expense in future accounting periods as the insurance coverage is utilized.

The Unexpired Insurance at the End of the Fiscal Period