USA Quiz Accounting

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A review of a ledger at its year end . Jul 31, 2021 produces the following unadjusted data for the preparation of the annual adjusting entries:
- prepaid insurance , Jul 31, 2021, unadjusted balance $8,600. The company purchased an insurance policy on Dec 01, 2019 with a 2 year term which expires Nov 30, 2021.
1/ how much insurance expires per month for the building ?
2/what was the original purchase price of the policy on Dec 01,2019?
3/ how much should the adjusted balance in the prepaid insurance account be on Jul 31, 2021?
thanks,
 

BIG E

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1) $ 2,150.00 $ 8,600 / 4 months until end of policy

2) $51,600.00 $ 2,150 x 24 months

3) $ 8,600.00
 
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3 / i thought the prepaid insurance would be 2,150 .00. The amount 8,600.00 is an unadjusted balance isn’t it ?
 

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