For each of the situations presented below, prepare both the initial entry made during the period and the adjusting entry made at the end of the period. Assume that no adjusting entries have been made until the end of the operating year which is December 21.


1. On January 1, 2006, the balance in the prepaid insurance account was $2,800. On December 31, 2006, after the 2006 adjusting entries were made, the balance in the prepaid insurance account was $10,000. On June 15, 2006, cash payment for insurance premiums amounting to $9,300 were made.


2. On April 1, 2006, Maze Company paid $6,000 rent for some office space which were debited in fuull to prepaid rent expense. The rent was for the year ending March 31, 2007.


3. Exactly the same fact as (2) above, except the payment was made on June 1, 2006.