A store purchased a one-year insurance policy for $1,800 on September 1. Its fiscal period ended December

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A store purchased a one-year insurance policy for $1,800 on September 1. Its fiscal period ended December 31. What is the amount of the adjustment and what accounts are debited and credited on December 31?

a. $1,800; insurance expense and prepaid insurance

b. $600; insurance expense and prepaid insurance

c. $1,200; insurance expense and prepaid insurance

d. $600; prepaid insurance and insurance expense

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Glencoe Accounting First Year Course

ISBN: 9780078688294

1st Edition

Authors: Andrée Vary

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Question Posted: Jun 13, 2022 01:52 AM

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A store purchased a one-year insurance policy for $1,800 on September 1. Its fiscal period ended December

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