Note 13 Included

Note 13 provides information on Target's current assets. Assume all prepaid expenses are for prepaid insurance and that insurance expense comprises S50 million of the $14,248 million of selling, general, and administrative expenses reported in the income statement for the year ended February 3, 2018. How much cash did Target pay for insurance coverage during the year? Prepare the adjusting entry Target would make to record all insurance expense for the year. What would be the effect on the income statement and balance sheet if Target didn't record an adjusting entry for prepaid expenses? 13. Other Current Assets Other Current Assets (millions) Income tax and other receivables Vendor income receivable Prepaid expenses Other Total February 3, 2018 513 $ 416 181 January 28, 2017 364 385 207 213 1,169 154 $ 1,264 $