Carol, the accountant for Cool Pte. Ltd. recorded insurance expense transaction as follows:   DR      Insurance expense       $63,000  CR      Bank                             $63,000   The above insurance is paid for the period starting from 1 August 2021 to 28 February 2022. If the company's year-end is 31 December 2021, which of the following is the best adjusting entry to be passed on 31 December 2021?

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Carol, the accountant for Cool Pte. Ltd. recorded insurance expense transaction as follows:
 
DR      Insurance expense       $63,000
 CR      Bank                             $63,000
 
The above insurance is paid for the period starting from 1 August 2021 to 28 February 2022. If the company's year-end is 31 December 2021, which of the following is the best adjusting entry to be passed on 31 December 2021?

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