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on March 31,2004, the tricot company purchased a two-year fire insurance policy. Tricot recorded the purchase by debiting Prepaid Insurance and crediting Cash for $12,000. Which of the following adjusting entries should Tricot use at the end of 2004 to match insurance expense against revenues.
A. prepaid insurance 4,500 insurance expense 4,500
b. insurance expense 4,500 prepaid insurance 4,500
c. prepaid insurance 7500 insurance expense 7500
d. Insurance expense 7500 prepaid insurance 7500