Super Shawarma, a successful restaurant chain, purchased a two-year insurance policy on April 1, 2023, paying cash
Question:
Super Shawarma, a successful restaurant chain, purchased a two-year insurance policy on April 1, 2023, paying cash for $15,000. Super Shawarma has a December 31 year end. How much does the insurance policy cost per month?
a. Record the journal entry on April 1, 2023.
b. How many months are between April 1, 2023 and December 31, 2023? Record the adjusting entry on December 31, 2023.
c. How many months are between January 1, 2024 and December 31, 2024? Record the adjusting entry on December 31, 2023.
d. How many months of the insurance policy are left in 2025?
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a b c d Date 2023 Apr 1 9 months 2023 Dec 31 12 mont...View the full answer
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Related Book For 
Fundamental Accounting Principles Volume 1
ISBN: 9781260881325
17th Canadian Edition
Authors: Kermit D. Larson, Heidi Dieckmann, John Harris
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