Davis Corp. buys an insurance policy on January 1, for $1,000, that will provide insurance 12 months. The appropriate journal entry would include. A debit to cash and a credit to insurance expense A debit to retained earnings and a credit to cash A debit to prepaid insurance and a credit to cash A debit to prepaid insurance and a credit to accounts payable Bob Corp. buys a truck for use in its business for $30.000 and promises to pay for the in 3months. The entry to record this transaction would include A debit to fixed assets and a credit to cash A debit to truck expense and a credit to cash A debit to fixed assets and a credit to accounts payable A debit to truck expense and a credit to accounts payable When a company records monthly depreciation expense on a building, the normal entry record this involves recording depreciation expense and, as the other part of the entry, Crediting the building asset account Crediting cash Crediting accumulated depreciation Debiting the building asset account