Fes Company is making adjusting journal entries for the year ended December $31,2021.$ In developing information for the adjusting ournal entries, you learned the following:

A two$-$year insurance premium of $$8,000$ was paid on January $1,2021,$ for coverage beginning on that date. As of December $31,2021,$ the unadjusted balances were $$8,000$ for Prepaid Insurance and $$0$ for Insurance Expense.

At December $31,2021,$ you obtained the following data relating to supplies.

Unadjusted balance in Supplies on December $31$

Unadjusted balance in Supplies Expense on December $31$

Supplies on hand, counted on December $31$

equired:

equired:

Of the $$8,000$ paid for insurance, what amount should be reported on the $2021$ income statement as Insurance Expense? What amount should be reported on the December $31,2021,$ balance sheet as Prepaid Insurance?

What amount should be reported on the $2021$ income statement as Supplies Expense? What amount should be reported on the December $31,2021,$ balance sheet as Supplies?

Indicate the accounting equation effects of the adjustment required for $($a$)$ insurance and $($b$)$ supplies.

Complete this question by entering your answers in the tabs below.

Required $1$

Required $2$

Requirlas $3$

Indicate the accounting equation effects of the adjustment required for $($a$)$ Insurance and $($b$)$ supplies. $($Enter any decreases to Assets, Liabilities, or Stockholders' Equ jign.$)$

$\backslash$table$[[$Iransaction$,$Assets,$=,$Liabilities,$+,$Stockholders' Equity$],[$a$.,,=,,+,],[$b$.,,=,,1+1,]]$