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on March 31,2004, the tricot company purchased a two-year fire insurance policy. Tricot recorded the purchase by debiting Prepaid Insurance and crediting Cash for $12,000.

Which of the following adjusting entries should Tricot use at the end of 2004 to match insurance expense against revenues.

A. prepaid insurance 4,500

insurance expense 4,500

b. insurance expense 4,500

prepaid insurance 4,500

c. prepaid insurance 7500

insurance expense 7500

d. Insurance expense 7500

prepaid insurance 7500