On July 1, 2023, Horton Pediatrics pays $150,000 for future malpractice insurance. The payment covers the three-year period from July 1, 2023 through June 30, 2026.  On July 1, 2023, the company makes the following journal entry: Dr. Prepaid Insurance 150,000 and Cr. Cash 150,000.  What adjusting journal entry should Horton Pediatics make on December 31, 2023? 

Answer rating: 100% (QA)

The adjusting journal entry on December 31 2023 would be required to account for the part of prepaid ... View the full answer