$18$

Tank & Franks, a local construction company, purchased a $12-$month insurance policy on August $1$ and recorded the $$4,200$ premium to prepaid insurance. At its December $31$ year$-$end, Tank & Franks would record which of the following adjustments?

$5$

points

Multiple Choice

$01$:$31$:$39$

Increase Insurance Expense and Decrease Prepald Insurance for $$1,750.$

Increase Prepaid Insurance and Decrease Insurance Expense for $$1,750.$

Increase Insurance Expense and Decrease Prepaid Insurance for $$2,450.$