Choose the right answer only:

Suppose company ABC Inc recorded the following adjusting entry at the end of 2023:

Debit- Insurance Charge

$800

Credit - Prepaid Insurance

$800

You are given the following information for fiscal year 2023: The opening (initial) balance of the prepaid insurance account was $700. A new insurance policy for $1,500 has been recorded in the prepaid insurance account. What would be the closing (final) balance of the prepaid insurance account (after the adjusting entry above)? Question 6 options:

$2,200 debtor

$1,400 debtor

$100 debtor

$1,500 debtor