1. Continuing with the previous question, what would be the adjusting journal entry at December 31st?

Group of answer choices

Debit Accounts Payable for $2,000 and credit Cash for $2,000

No Entry

Debit Insurance Expense for $2,000 and credit Prepaid Expenses for $2,000

Debit Prepaid Expenses for $2,000 and credit Insurance Expense for $2,000

2. 1Dazzle, Inc. has a $1,000 note outstanding. The terms of the note are for 6 months at 10% interest. Compute the interest that they will owe on the note.

$50

$5

$100

$1,000