J Brown Consulting Paid $2,500 Cash for a 5-Month Insurance $$\begin{array} { | l | r | r | } \hline \text { Insurance Expense } & 2,500 & \\\hline \text { Cash } & & 2,500 \\\hline\end{array}$$

Multiple Choice

J. Brown Consulting paid $2,500 cash for a 5-month insurance policy which begins on December 1. Given the choices below, determine the general journal entry that J. Brown Consulting will make to record this transaction.

A) $$\begin{array} { | l | r | r | } \hline \text { Insurance Expense } & 2,500 & \\\hline \text { Cash } & & 2,500 \\\hline\end{array}$$
B) $$\begin{array} { | l | r | r | } \hline \text { Cash } & 2,500 & \\\hline \text { Insurance Expense } & & 2,500 \\\hline\end{array}$$
C) $$\begin{array} { | l | r | r | } \hline \text { Cash } & 2,500 & \\\hline \text { Prepaid Insurance } & & 2,500 \\\hline\end{array}$$
D) $$\begin{array} { | l | r | r | } \hline \text { Prepaid Insurance } & 2,500 & \\\hline \text { Cash } & & 2,500 \\\hline\end{array}$$
E) $$\begin{array} { | l | r | r | } \hline \text { Insurance Expense } & 2,500 & \\\hline \text { Prepaid Insurance } & & 2,500 \\\hline\end{array}$$