On July 1, 2022, Pharoah Company pays $21,000 to Carla Vista Co.for a 1-year insurance contract. Both companies have fiscal years ending December 31. (a1) . Your answer is partially correct. For Pharoah Company, journalize the entry on July 1 and the annual adjusting entry on December 31. (Record journal entries in the order presented in the problem. If no entry is required, selec titles and enter Ofor the amounts. Credit account titles are automatically indented when the amount is entered. Do not indent manually.) Date Account Titles and Explanation Debit Credit July 1 Prepaid Insurance 21000 Cash 21000 Dec. 31 Prepaid Insurance