On November 1 of the current year,Salinger Company paid $9,600 cash for a one-year insurance policy that took effect on that day.On the date of the payment,Salinger recorded the following entry:

Assuming Salinger only prepares adjustments at year-end, prepare the required adjusting entry at December 31 of the current year.

Question

On November 1 of the current year,Salinger Company paid $9,600 cash for a one-year insurance policy that took effect on that day.On the date of the payment,Salinger recorded the following entry:
 
Assuming Salinger only prepares adjustments at year-end, prepare the required adjusting entry at December 31 of the current year.

Quizplus · Accepted Answer

The Answer of On November 1 of the current year,Salinger Company paid $9,600 cash for a one-year insurance policy that took effect on that day.On the date of the payment,Salinger recorded the following entry:
 
Assuming Salinger only prepares adjustments at year-end, prepare the required adjusting entry at December 31 of the current year.

On November 1 of the Current Year,Salinger Company Paid $9,600