Prior to recording adjusting entries, the Prepaid Insurance account had a balance of $1,000. An analysis of insurance policies revealed that 300 of insurance had expired. The adjusting entry to record the expired insurance would be O Debit Insurance Expense and credit Prepaid Insurance for $700. Debit Prepaid Insurance and Credit Insurance Expense for $700 Debit Pepaid Insurance and Credit Insurance Expense for $300 Debit Insurance Expense and Credit Prepaid Insurance for $ 300, The freight term in which the buyer would be responsible for shipping and insurance costs FOB destination FOB shipping point The account that represents the cost of inventory sold Sales Returns and Allowances Sales Cost of Goods Sold Cash