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i cannot figure this a. Prepald Insurance. The Prepaid Insurance account has a $5,200 debit balance to start the year. A review of insurance policlos
i cannot figure this
a. Prepald Insurance. The Prepaid Insurance account has a $5,200 debit balance to start the year. A review of insurance policlos shows that $1,150 of unexpired Insurance remains at year-end. DR or CR? Prepaid Insurance Step 1: Determine what the current account balance equals. $ 5,200 0 18 Step 2: Determine what the current account balance should equal $ 1,150 Step 3: Record the December 31 adjusting entry to get from step 1 to stop 2. Adjusting Entry Prepaid insurance Insurance expense Credit Debit 4,050 4,050 b. Prepaid Insurance. The Prepaid Insurance account has a $6,390 debit balance at the start of the year. A review of insurance policies shows $1,240 of insurance has expired by year-end. Prepaid Insurance Step 1: Determine what the current account balance equals. 0 Step 2. Determine what the current account balance should equal Step 3: Record the December 31 adjusting entry to get from step 1 to step 2 Step by Step Solution
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