On January 1, Eastern College received $1,280,000 from its students for the spring semester that it recorded in Unearned Tuition and Fees. The term spans four months beginning on January 2 and the college spreads the revenue evenly over the months of the term. What amount of tuition revenue should the college recognize on February 28? Assume the college prepares monthly financial statements.

$640,000.

$1,280,000.

$880,000.

$960,000.

$320,000.

On July 1 Plum Co. paid $8,900 cash for management services to be performed over a two-year period. Plum follows a policy of recording all prepaid expenses to asset accounts at the time of cash payment. On July 1 Plum should record:

A debit to Cash for $8,900 and a credit to an expense for $8,900.

A debit to an expense and credit to Cash for $8,900.

A credit to a prepaid expense and a debit to Cash for $8,900.

A debit to a prepaid expense and a credit to Cash for $8,900.

A debit to an expense and a credit to a prepaid expense for $8,900.

What is the proper adjusting entry at December 31, the end of the accounting period, if the balance in the prepaid insurance account is $8,150 before adjustment, and the unexpired amount per analysis of policies is, $3,450?

Debit Insurance Expense, $8,150; credit Prepaid Insurance, $8,150.

Debit Prepaid Insurance, $4,700; credit Insurance Expense, $4,700.

Debit Insurance Expense, $3,450; credit Prepaid Insurance, $3,450.

Debit Insurance Expense, $4,700; credit Prepaid Insurance, $4,700.

Debit Cash, $8,150; Credit Prepaid Insurance, $8,150.