After running the unadjusted trial balance at the end of the year, you see the bookkeeper recorded the entire annual premium paid in the middle of the year for insurance as an expense. In preparing your adjusting journal entry, you would debit the Select an answer Unearned Expense Insurance Payable Prepaid Insurance account and credit the Select an answer Insurance Expense Prepaid Insurance Cash account.

Box 1: Select the best answer

Box 2: Select the best answer