Arnez Co. follows the practice of recording prepaid expenses and unearned revenues in balance sheet accounts. The companys annual accounting period ends on December 31, 2016. The following information concerns the adjusting entries to be recorded as of that date.

An analysis of the company's insurance policies provided the following facts.

Policy	Date of Purchase	Months of Coverage	Cost
A	April 1, 2014	24	$	10,824
B	April 1, 2015	36		9,576
C	August 1, 2016	12		8,424

The total premium for each policy was paid in full (for all months) at the purchase date, and the Prepaid Insurance account was debited for the full cost. (Year-end adjusting entries for Prepaid Insurance were properly recorded in all prior years.)

*When I looked at the solution to the problem with these numbers, the August on Chegg had a different year. I have tried multiple different methods to answer this and all of them were wrong. I am not sure what to do to answer this.*