Assume Idaho Company Recorded the Following Adjusting Journal Entry at Year-End

question 24

Multiple Choice

Assume Idaho Company recorded the following adjusting journal entry at year-end: Insurance expense $\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\$ 2000$
$\quad$ Insurance expense $\quad$$\quad$$\quad$$\quad$$\quad$$\quad$ $\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\$ 2000$ If the beginning balance in prepaid insurance was $500 and $2,500 was paid for an insurance premium during the year,what is the ending balance in the prepaid insurance account after the above adjusting entry?

• A)$1,200
• B)$700
• C)$2,200
• D)$1,000

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Definitions:

Adler

Alfred Adler, a psychologist and founder of the school of individual psychology, known for his theories on personality, inferiority complex, and sibling rivalry.

International Psychoanalytic Association

A professional organization aimed at supporting and disseminating psychoanalytic ideas and research.

Neo-Freudian

A term referring to psychologists and theorists who accepted the basic components of Freud's theory but modified and expanded upon it, often placing less emphasis on sexuality and more on social and cultural factors.

Adler

Alfred Adler was an Austrian medical doctor and psychotherapist who founded individual psychology, emphasizing the importance of feelings of inferiority and the striving for superiority in personality development.