Jody purchased a 12-month liability insurance policy on December 1, 2013 for $12,000. ADJUSTMENTS DEBITS CREDITS ADJUSTED TRIAL BALANCE DEBITS CREDITS $5,000 $2,500 ACCOUNTS CASH ACCTS RECEIV. PREPAID INSUR PREPAID RENT UNEARNED REV NOTES PAYABLE OWNER'S CAPITAL OWNER'S DRAW REVENUE INSUR. EXPENSE RENT EXPENSE ADVERT. EXPENSE TRIAL BALANCE DEBITS CREDITS $ 5,000 $ 2,500 $12,000 $ 1,600 $ 2,700 $ 800 $17,600 $ 2,700 $ 800 $17,600 TOTALS $21,100 $21,100 Based on the partial worksheet shown above, what adjustment will Jody make on December 31, 2013? O A debit to Prepaid Insurance for $12,000, and a credit to Insurance Expense for $12,000. O A debit to Insurance Expense for $1,000, and a credit to Prepaid Insurance for $1,000. o A debit to Insurance Expense for $12,000, and a credit to Prepaid Insurance for $12,000. O A debit to Prepaid Insurance for $1,000, and a credit to Insurance Expense for $1,000