For each separate case, record the necessary adjusting entry. On July 1, Lopez Company paid $2,800 for six months of insurance coverage. No adjustments have been made to the Prepaid Insurance account, and it is now December 31. Zim Company has a Supplies account balance of $8,200 at the beginning of the year. During the year, it purchased $3,600 of supplies. As of December 31, a physical count of supplies shows $1,600 of supplies available. Prepare the year-end adjusting entries to reflect expiration of the insurance and correctly report the balance of the Supplies account and the Supplies Expense account as of December 31.

a. Date    Account Title and Explanation      Debit    Credit

                Insurance Expenses                       $2,800

                      Prepaid Insurance                                   $2,800

                (To record 6-month Insurance coverage expired)

b. Date    Account Title and Explanation         Debit      Credit

                Supplies Expenses                          $10,200

                      Supplies                                                       $10,200

                       (8,200 +3,600 - 1,600)

                 (To record supplies consumed during the year)

1. c

2. b

3. a

4. c

5. a

6. b

7. c

8. c

9.b

10. d

just took it 100%