Question

For Oriole Company, journalize the entry on July 1 and adjusting entry on December 31. (Record journal entries in the order presented in the problem. If no entry is required, select "No Entry" for the account titles and enter o for the amounts. Credit account titles are automatically indented when the amount is entered. Do not indent manually.) Date Account Titles and Explanation Debit Credit July 1 Prepaid Insurance 0,000 Cash 0,000 Dec. 31 Insurance Expense 00 Prepaid Insurance I 5,000 SHOW LIST OF ACCOUNTS SHOW SOLUTION SHOW ANSWER LINK TO TEXT INTERACTIVE TUTORIAL Your answer is partially correct. Try again. For Oriole Company, post the entries passed on July 1 and December 31. (Post entries in the order of journal entries presented in the previous part.) Prepaid Insurance | 12/31 5,000 7/1 12/31 915,000 7/1 7 - 12/31 D 20,000 15,000 12/31 - Insurance Expense 12/31 12/31 U 5,000 12/31 J15,000 000 12/31 5,000

Answer 1

Ans.	Journal entries are correct.
	Posting of journal enties is as follows:
	Prepaid Insurance
	7/1	$20,000	12/31	$5,000
	12/31 Balance
	*12/31 balance = $20,000 - $5,000 = $15,000
	Insurance Expense
	12/31	$5,000