The prepaid insurance account had a beginning balance of $6,800 and was debited for $25,100 of premiums paid during the year. Journalize the adjusting entry required at the end of the year, assuming the amount of unexpired insurance related to future periods is $8,500. Refer to the chart of accounts for the exact wording of the account titles. CNOW journals do not use lines for journal explanations. Every line on a journal page is used for debit or credit entries. CNOW journals will automatically indent a credit entry when a credit amount is entered.

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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The prepaid insurance account had a beginning balance of $6,800 and was debited for $25,100 of premiums paid during the year.
Journalize the adjusting entry required at the end of the year, assuming the amount of unexpired insurance related to future periods is $8,500.
Refer to the chart of accounts for the exact wording of the account titles. CNOW Journas do not use lines for journal explanations. Every line on a
journal page is used for debit or credit entries. CNOW journals will automatically indent a credit entry when a credit amount is entered.
W
Transcribed Image Text:Instructions The prepaid insurance account had a beginning balance of $6,800 and was debited for $25,100 of premiums paid during the year. Journalize the adjusting entry required at the end of the year, assuming the amount of unexpired insurance related to future periods is $8,500. Refer to the chart of accounts for the exact wording of the account titles. CNOW Journas do not use lines for journal explanations. Every line on a journal page is used for debit or credit entries. CNOW journals will automatically indent a credit entry when a credit amount is entered. W
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Insurance expense 

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   To   Prepaid Insurance 

 

23400 

 

 

 

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