Chapter 3 homework Name: Prepare the adjusting entries for the following transactions: 1)- Prepaid Insurance $ 6,000: Prepaid insurance is the cost of a 2-year insurance policy, effective April 2)- Depreciation on equipment is $3,000 a year, or $250 per month. 3)-The company received a $4,200 cash as Unearned Services Revenue. $1,600 has been earned. 2 jo 2 iziell