Wilson Company paid $5,600 for a 4-month insurance premium in advance on November 1, with coverage beginning on that date. The balance in the prepaid insurance account before adjustment at the end of the year is $5,600, and no adjustments had been made previously. The adjusting entry required on December 31 is: Multiple Choice Debit Insurance Expense, $1,400; credit Prepaid Insurance, $1,400. Debit Insurance Expense, $2,800; credit Prepaid Insurance, $2,800. Debit Cash, $5,600; Credit Prepaid Insurance, $5,600. Debit Prepaid Insurance, $2,800; credit Insurance Expense, $2,800. Debit Prepaid Insurance, $1,400; credit Insurance Expense, $1,400.