ABC Company purchased a 12-month insurance policy on March 1, 2014 for 1,500 JD. At March...

 

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ABC Company purchased a 12-month insurance policy on March 1, 2014 for 1,500 JD. At March 31, 2014, the adjusting journal entry to record expiration of this asset will include a OA. debit to Insurance Expense and a credit to Prepaid Insurance for 125 OB. debit to Prepaid Insurance and a credit to Insurance Expense for 150. OC. debit to Prepaid Insurance and a credit to Cash for 1,500. OD. debit to Insurance Expense and a credit to Cash for 125. ABC Company purchased a 12-month insurance policy on March 1, 2014 for 1,500 JD. At March 31, 2014, the adjusting journal entry to record expiration of this asset will include a OA. debit to Insurance Expense and a credit to Prepaid Insurance for 125 OB. debit to Prepaid Insurance and a credit to Insurance Expense for 150. OC. debit to Prepaid Insurance and a credit to Cash for 1,500. OD. debit to Insurance Expense and a credit to Cash for 125.

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This is 12 month policy At 3... View the full answer