Yummy Foods purchased a two$-$year fire and extended coverage insurance policy on August $1,2024,$ and charged the $$4,320$ premium to Insurance expense. At its December $31,2024,$ year$-$end, Yummy Foods would record which of the following adjusting entries?

Multiple Choice

A: Account Title Debit Credit

Prepaid insurance $3,420$

Insurance expense $3,420$

B: Account Title Debit Credit

Insurance expense $900$

Prepaid insurance $900$

C: Account Title Debit Credit

Prepaid insurance $900$

Insurance expense $900$

D: Account Title Debit Credit

Insurance expense $900$

Prepaid insurance $3,420$

Insurance payable $4,320$