If Amazon prepaid $ 4,700 of insurance on July 1 for 6 months of insurance. What amount should be adjusted on December 31 to reflect the insurance that has expired? Select one: O A. $ 4700 O B. $ 783.33 O C.$ 7,400 O D. No adjustment needed.

If Amazon prepaid $ 4,700 of insurance on July 1 for 6 months of insurance. What amount should be adjusted on December 31 to reflect the insurance that has expired? Select one: O A. $ 4700 O B. $ 783.33 O C.$ 7,400 O D. No adjustment needed.

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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Question

If Amazon prepaid $ 4,700 of insurance on July 1 for 6 months of
insurance. What amount should be adjusted on December 31 to
reflect the insurance that has expired?
Select one:
O A. $ 4700
O B. $ 783.33
O C.$ 7,400
O D. No adjustment needed.

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