1- On October 1, 2016, Adams Company paid $3,840 for a two-year insurance policy with the insurance coverage beginning on that date. As of December 31, 2016, what is the balances that will appear in the adjusted trial balance? a) Prepaid insurance $3,840, and Insurance expense $0. b) Prepaid insurance $1,920, and Insurance expense $1,920. c) Prepaid insurance $0, and Insurance expense $3,840. d) Prepaid insurance $3,360, and Insurance expense $480. 2- On January 1, 2016, the general ledger of Global Corporation included supplies of $1,600. During 2016, supplies purchased amounted to $6,200. A physical count of inventory on hand at December 31, 2016 determined that the amount of supplies on hand was $1,800. How much is the supplies expense for year 2016? a) $7,800. b) $6,000. c) $6,400. d) $1,600