In December 2007, the company paid $2,500 for insurance for the first six months of 2008. This

Question:

In December 2007, the company paid $2,500 for insurance for the first six months of 2008. This payment was mistakenly recorded as insurance expense in 2007. Make the necessary correcting entry, assuming that
(1) The error was found in August 2008 after the 2007 books had been closed and
(2) The error was found in August 2009 after the 2008 books had been closed. Ignore income taxes.