1.Owl Co. completed an internal audit of its bookkeeping system that uncovered an error on December 31, before the books were closed. A 3-year insurance policy for $180,000 acquired on August 1 of the current year was recorded by debiting insurance expense.Owl's entry needed to correct current year includes which of these:

A) Credit Prepaid Insurance for $155,000 B) Credit Insurance Expense for $155,000

C) Debit Prepaid Insurance for $25,000D) Debit Insurance Expense for $25,000