Activity 4.a - Using T-accounts to Analyze Adjustments Fill in the t-accounts for each situation and label each transaction as Deferrals/Prepaid or Accrual. Calculate the adjusted balance and use a Bal. post reference to show the ending balance of each account. Used prepaid insurance of $1,590. The Prepaid Insurance unadjusted balance as of December 31 is $11,500 Adjustment Type: Deferrals/Prepaids Insurance Expense Prepaid Insurance Dec. 31 Dec. 31 9910 Depreciation for the current year includes Equipment, $1,900. The Accumulated Depreciation - Equipment unadjusted balance as of December 31 is $7,800. Adjustment Type: Depreciation Expense - Equipment Accumulated Depreciation - Equipment Customers were billed for $1,900 for work completed. The Service Revenue unadjusted balance as of December 31 is $7,100. Adjustment Type: Accounts Receivable Service Revenue CHECK ANSWER SKIP TO NEXT