What Is the Proper Adjusting Entry at June 30, the End

question 167

Multiple Choice

What is the proper adjusting entry at June 30, the end of the fiscal year, based on a prepaid insurance account balance before adjustment, $18,500, and unexpired amounts per analysis of policies of $6,000?

• A) Debit Insurance Expense, $6,000; Credit Prepaid Insurance, $6,000.
• B) Debit Insurance Expense, $18,500; Credit Prepaid Insurance, $18,500.
• C) Debit Prepaid Insurance, $12,500; Credit Insurance Expense, $12,500.
• D) Debit Insurance Expense, $12,500; Credit Prepaid Insurance, $12,500.

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Definitions:

Indwelling Urinary Catheter

A catheter placed inside the bladder to allow for continuous, passive urine drainage, often used in patients unable to void naturally.

Radical Prostatectomy

A surgical procedure to remove the entire prostate gland and some of the tissue around it to treat prostate cancer.

Clear Yellow Urine

A description of urine indicating a normal hydration status, where the urine appears pale to bright yellow and is transparent.

Ambulate

The act of walking or moving from one place to another, often used in healthcare to assess or encourage patient mobility.