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Larkin Incorporated is a wholesale distributor of computer parts. In 2024,the following situations occurred or were discovered: d. A five-year casualty insurance policy was purchased
Larkin Incorporated is a wholesale distributor of computer parts. In 2024,the following situations occurred or
were discovered:
d. A five-year casualty insurance policy was purchased at the beginning of 2022 for $35,000. The full amount
was debited to insurance expense at the time. No adjusting entries were made regarding the casualty
insurance policy.
Larkins books are closed for 2022 and 2023 but are still open in 2024.
INSTRUCTIONS: For each situation, prepare any journal entry necessary as a direct result of the change or error
correction, as well as any adjusting entry required for 2024 related to each situation described. (Ignore
income taxes.)
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Cash And Financial Management Study Text
Authors: Kaplan
1st Edition
9781839960529
