Insurance of $5,000 has been paid for October 2021 to 28 February 2022. The financial year end is on 31 March 2022. Monthly insurance is to remain consistent during the current year. What is the adjusting Journal Entry to record the insurance expense on 31 March 2022?

Group of answer choices

Dr Insurance $500, Cr Accrued expense $500

Dr Insurance $1,000, Cr Accrued expense $1,000

Dr Prepaid expense $500, Cr Insurance $500

Dr Prepaid expense $1,000, Cr Insurance $1,000

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