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the prepaid insurance account had a beginning balance of $4,500and was debited for $16,600 of premiums...

the prepaid insurance account had a beginning balance of $4,500and was debited for $16,600 of premiums paid during the year

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Answer #1
Journal Entry :
Accounts Title and explaination Debit Credit
Insurance expense $ 21,100.00
         Prepaid insurance $ 21,100.00
Suppose if there is any unexpired insurance then entry will be :
In my example, Unexpired insurance related to future peirod = $ 5600
Accounts Title and explaination Debit Credit
Insurance expense $ 15,500.00 =4500+16600-5600
         Prepaid insurance $ 15,500.00
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