ACCT 1110: Ch. 3 Question Booklet Question 1 (QS 3-4) Preparing adjusting entries (annual) prepaid expense Apr. 1, 20 Feb. Mis Apr May June July Aug Sept Oct NoN 14 Apr May June July Aug Sept Oct Nov. Dec. 2022 2023 Insurance coverage April 1, 2022 to March 31, 2023 Stud Muffin Bakery prepares financial statements on an annual basis and has a December 31, 2022 year- end. On April 1, 2022, the bakery purchased a one-year insurance policy for $12,000 cash. The insurance policy covers April 1, 2022 to March 31, 2023. How much does the insurance policy cost per month? b. How many months are between April 1, 2022 and December 31, 2022? Record the journal entry on April 1, 2022. Date Account Description Debit Credit d. In order to prepare the annual financial statements, record the adjusting journal entry on December 31, 2022. Date Account Description Debit Credit