PDA

View Full Version : Adjusting entries- paid 1,680 cash on one yr insurance and now one twelfth insurance


tlcnichols
Aug 11, 2012, 10:25 AM
I'm processing a trial balance and adjusting the entries.
The journal entry is for paid cash $1,680 on one year insurance effective March 1.
The journal entry is debit prepaid insurance and credit cash.

For the adjustment one twelfth of the insurance expired. Where is that posted on the adjustments.

pready
Aug 11, 2012, 10:42 AM
Insurance Expense and Prepaid Insurance