Record the adjusting entry for prepaid insurance (L03-3) BE3-8 Mountaineer Excavation operates in a low.lying area that is subject to heavy rains and flooding. Because of this, Mountaineer purchases one year of flood insurance in advance on March 1, paying $36,000 ($3,000/month). (1) Record the purchase of insurance in advance on March 1. (2) Record the adjusting entry on December 31, (3) Calculate the year- end adjusted balances of Prepaid Insurance and Insurance Expense (assuming the balance of Prepaid Insurance at the beginning of the year is $0). Record the adjusting entry for depreciation (L03-3)