Bieber Company paid $3,408 on June 1, 2015 for a TWO-YEAR insurance policy and recorded the entire amount as PREPAID INSURANCE. The December 31, 2015 adjusting entry is: A. Debit Insurance Expense and credit Prepaid Insurance $994. B. Debit Insurance Expense and credit Prepaid Insurance $2,414. C. Debit Prepaid Insurance and credit Insurance Expense $994. D. Debit P Debit Prepaid Insurance and credit Insurance Expense $2,414.

Bieber Company paid $3,408 on June 1, 2015 for a TWO-YEAR insurance policy and recorded the entire amount as PREPAID INSURANCE. The December 31, 2015 adjusting entry is: A. Debit Insurance Expense and credit Prepaid Insurance $994. B. Debit Insurance Expense and credit Prepaid Insurance $2,414. C. Debit Prepaid Insurance and credit Insurance Expense $994. D. Debit P Debit Prepaid Insurance and credit Insurance Expense $2,414.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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How to adjust and write this on general journal? The prepaid insurance account amounts to $12,000. Of this amount, $8,500 has expired as of December 31.

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bartleby, a Learneo, Inc. business

	A.	Debit Insurance Expense and credit Prepaid Insurance $994.
	B.	Debit Insurance Expense and credit Prepaid Insurance $2,414.
	C.	Debit Prepaid Insurance and credit Insurance Expense $994.
	D.	Debit P Debit Prepaid Insurance and credit Insurance Expense $2,414.