Your Answer Correct Answer Your answer is partially correct. When the accounts of Blossom Inc. are examined, the adjusting data listed below are uncovered on December 31, the end of an annual fiscal period. 1. 2. The prepaid insurance account shows a debit of $6.672, representing the cost of a 2-year fire insurance policy dated August 1 of the current year. On November 1, Rent Revenue was credited for $1.896, representing revenue from a subrental for a 3-month period beginning on that date. Purchase of advertising materials for $753 during the year was recorded in the Advertising Expense account. On December 31, advertising materials of $295 are on hand. Interest of $772 has accrued on notes payable. The interest will be paid in January of the next year. 3. 4. Prepare the following in general journal form. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No entry" for the account titles and enter o for the amounts) (a) The adjusting entry for each item. (a) The adjusting entry for each item. No. Account Titles and Explanation Debit Credit 1. Insurance Expense 1390 1390 Prepaid Insurance 623 2. Rent Revenue 623 Unearned Rent Revenue 458 3. Advertising Expense 458 Accounts Payable 772 4. Interest Expense 772 interest Payable (b) The reversing entry for each item where appropriate. Debit Credit Account Tities and Explanation (b) The reversing entry for each item where appropriate. No. Account Titles and Explanation Debit Credit 1. No Entry 0 No Entry 0 2. Rent Revenue 623 Rent Revenue 623 3. Advertising Expense 295 Accounts Payable 295 4 Interest Expense Interest Payable e Textbook and Media Solution