Mary Chain Investments purchased an 18-month insurance policy on May 31, 2015 for $3,600. The December 31, 2015 balance sheet would report Prepaid Insurance of

a) $2,200
b) 0$ because prepaid insurance is reported on the income statement
c) $3,600
d) $1,400

Answer rating: 100% (QA)

b 0 because prepaid insurance is reported on the income statement A prepaid expense is only recog... View the full answer