What is the proper adjusting entry at June 30, the end of the fiscal year, based on a prepaid insurance account balance before adjustment, € 20,500, and unexpired amounts per analysis of policies of € 6,000?
A) Debit Insurance Expense, € 6,000; Credit Prepaid Insurance, € 6,000.
B) Debit Insurance Expense, € 20,500; Credit Prepaid Insurance, € 20,500.
C) Debit Prepaid Insurance, € 14,500; Credit Insurance Expense, € 14,500.
D) Debit Insurance Expense, € 14,500; Credit Prepaid Insurance, € 14,500.
Correct Answer:
Verified
Q73: If a resource has been consumed but
Q90: When companies record transactions in the period
Q95: The expense recognition principle refers to
A)Recognizing revenue
Q97: Prepaid expenses are
A) paid and recorded in
Q98: Accounts often need to be adjusted because
A)
Q99: Adjusting entries
A)Are often prepared after the statement
Q99: If an adjustment is needed for unearned
Q102: A new accountant working for Unitas Company
Q110: Bee-In-The-Bonnet Company purchased office supplies costing $8,000
Q116: Depreciation is the process of
A) valuing an
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents