On July 1, 2022, Crane Co. pays $15,000 to Swifty Insurance Co. for a 4-year insurance contract. Both companies have fiscal years ending December 31. For Crane Co., journalize and post the entry on July 1 and the annual adjusting entry on December 31. (list all debit entries before credit entries. Credit account titles are automatically indented when the amount is entered. Do not indent manually. Record journal entries in the order presented in the problem.)

Date Accounts titles and explanation debit credit

prepaid insurance

insurance expense