Reviewing insurance policies revealed that a single policy was purchased on August 1, for one year's coverage, in the amount of $6,000. There was no previous balance in the Prepaid Insurance account at that time. Based on the information provided (BE AWARE: You may have to use the bottom scroll bar to move to the right and left to see all the answer boxes below): Make the initial journal entry for the purchase of the single insurance policy on August 1: Account [Select] [Select] [Select] [Select] [Select] . Make the December 31 adjusting journal entry to recognize the insurance used for five months: Account Debit [ Select] = Debit

Reviewing insurance policies revealed that a single policy was purchased on August 1 , for one year's coverage, in the amount of $6,000. There was no previous balance in the Prepaid Insurance account at that time. Based on the information provided (BE AWARE: You may have to use the bottom scroll bar to move to the right and left to see all the answer boxes below): - Make the initial journal entry for the purchase of the single insurance policy on Aurust 1. - Make the December 31 adjusting journal entry to recognize the insurance used for five months