Required information For each of the following transactions for the Sky Blue Corporation: a. Collected $2,700 rent for the period October 1 to December 31, which was credited to Deferred Revenue on October 1. b. Paid $1,440 for a two-year insurance premium on October 1 and debited Prepaid Insurance for that amount. c. Used a machine purchased on October 1 for $49,200. The company estimates annual depreciation of $4,920. ive the accounting equation effects of the adjustments required at the end of the month on October 31. (Enter any decreases to ssets, Liabilities, or Stockholders' Equity with a minus sign.) Transaction Assets Liabilities Stockholders' Equity a. Deferred Revenue (900) Rent Revenue 900 b. (60) Prepaid Insurance Accumulated DepreciationVehicles Insurance Expense Depreciation Expense (60) (410) C. X (410) At December 31, the unadjusted trial balance of H&R Tacks reports Prepaid Insurance of $7,920 and Insurance Expense of $0. The insurance was purchased on July 1 and provides coverage for 24 months. Required: 1. Prepare the adjusting journal entry on December 31. 2. Prepare the T-accounts for each account, enter the unadjusted balances, post the adjusting journal entry, and report the adjusted balance. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare the T-accounts for each account, enter the unadjusted balances, post the adjusting journal entry, and report the adjusted balance. Insurance Expense Prepaid Insurance 7,920 1,980 Beg. Bal. Beg. Bal. X x 1,980 End. Bal. 5,940 End. Bal. 1,980 Required 1 Required 2