On December 1, 2010 your company paid its insurance agent $2,400 for the annual insurance premium covering the period of December 1, 2010 through November 30, 2011. The $2,400 payment was recorded on December 1 with a debit to the income statement account Insurance Expense and a credit to the current asset Cash. Your company prepares monthly financial statements at the end of each calendar month. The following questions pertain to the adjusting entry that will be written by the company. (a) What date should be used to record the December adjusting entry? (b) How many accounts are involved in the adjusting entry? (c) What is the name of the account that will be debited? (d) What is the name of the account that will be credited? (e) What is the amount of the debit and the credit? (f) What would be the effect on the financial statements if the company fails to make the adjusting entry on December 31, 2010?