Multiple Choice
What is the proper adjusting entry at June 30, the end of the fiscal year, based on a prepaid insurance account balance before adjustment, € 20,500, and unexpired amounts per analysis of policies of € 6,000?
A) Debit Insurance Expense, € 6,000; Credit Prepaid Insurance, € 6,000.
B) Debit Insurance Expense, € 20,500; Credit Prepaid Insurance, € 20,500.
C) Debit Prepaid Insurance, € 14,500; Credit Insurance Expense, € 14,500.
D) Debit Insurance Expense, € 14,500; Credit Prepaid Insurance, € 14,500.
Correct Answer:
Verified
Correct Answer:
Verified
Q55: The expense recognition principle requires that expenses
Q67: The _ principle gives accountants guidance as
Q112: The expense recognition principle matches<br>A) customers with
Q141: Cindi's Candies paid employee wages on
Q180: Expenses sometimes make their contribution to revenue
Q183: Adjusting entries are not necessary if the
Q208: Depreciation expense for a period is an
Q235: When a company receives cash for future
Q278: Which of the following statements concerning accrual-basis
Q287: The total amount of debits on the