Prepaid insurance on 30th June 1999 is Rs 1400.How to adjust it in balance sheet and income statement when we are preparing the income statement and balance sheet as on 30th June 2009.

DEBIT Prepayments Account 1400
CREDIT Insurance Expense a/c 1400.

Being Insurance Prepaid at 20090630.

There's something seriously wrong with the question. The amount of prepaid insurance in 1999 was 1400 but you need an entry for 2009??