In accrual basis accounting, insurance is a(n)_____ until it is used.
A)expense
B)asset
C)liability
D)cost of goods sold

Name: In accrual basis accounting, insurance is a(n)_____ until it is used. A)expense B)asset C)liability D)cost of goods sold
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In accrual basis accounting, insurance is considered a prepaid expense, which is classified as an asset until the period it covers comes into effect. At that point, it is expensed over the period it benefits.

In Accrual Basis Accounting, Insurance Is A(n)_____ Until It Is