On $1\mathrm{.}1\mathrm{.}2020,$ MADA co$.$ paid $$4,000$ in advance for insurance, the insurance policy will cover two years. If you knew that Mada prepares annual financial statements, the adjusting entry on $31\mathrm{.}12\mathrm{.}2020$ would be:O a$.$ Dr insurance expense $2,000$; Cr prepaid insurance $2,000.$O b$.$ Dr prepaid insurance $4,000$; Cr cash $4,000.$Oc$.$ Dr prepaid insurance $2,000$; Cr insurance expense $2,000.$O d$.$ Dr insurance expense $4,000$; Or prepaid insurance $4,000.$