On March 1, 2023, Principal Consulting Limited paid 6 months' insurance in advance, covering the period of March 1 to August 31, 2023. The total payment was $4,200. At the time of the payment, the entire amount was used to increase the balance in the Prepaid Insurance account. What will be the balance in the Prepaid Insurance account as of March 31, 2023? $700 $4,200 $2,800 $0 $3,500
On March 1, 2023, Principal Consulting Limited paid 6 months' insurance in advance, covering the period of March 1 to August 31, 2023. The total payment was $4,200. At the time of the payment, the entire amount was used to increase the balance in the Prepaid Insurance account. What will be the balance in the Prepaid Insurance account as of March 31, 2023? $700 $4,200 $2,800 $0 $3,500
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:On March 1, 2023, Principal Consulting Limited paid 6 months' insurance in advance, covering the period
of March 1 to August 31, 2023. The total payment was $4,200. At the time of the payment, the entire
amount was used to increase the balance in the Prepaid Insurance account. What will be the balance in
the Prepaid Insurance account as of March 31, 2023? $700 $4,200 $2,800 $0 $3,500
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