Homework Answers
| Please give thumbs up if you are satisfied | |||
| Statement showing Computations | |||
| Date | Accounts | Debit | Credit |
| Jul 01 '2017 | Prepaid insurance Dr | 18,000.00 | |
| To Cash | 18,000.00 | ||
| Dec 31'2017 | Insurance expense Dr | 3,000.00 | |
| To Prepaid insurance | 3,000.00 | ||
| (18000 *6/36) | |||
| Prepaid insurance | |||
| Particulars | Amount | Particulars | Amount |
| To Cash | 18,000.00 | By Insurance expense | 3,000.00 |
| By bal c/d | 15,000.00 | ||
| 18,000.00 | 18,000.00 | ||
| Insurance Expense | |||
| Particulars | Amount | Particulars | Amount |
| To prepaid insurance | 3,000.00 | By bal c/d | 3,000.00 |
| 3,000.00 | 3,000.00 | ||
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