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The correct amount of prepaid insurance shown on a company’s December 31, 2021, balance sheet was $1,400. On May 1, 2022, the company paid an additional insurance premium of $1,100. In the December 31, 2022, balance sheet, the amount of prepaid insurance was correctly shown as $1,000. The amount of insurance expense that should appear in the company’s 2022 income statement is:

1 Answer

5 votes

Answer:

Expense 2022 1500

Step-by-step explanation:

december 31 2021 1400

december 31 2022 1000

400

Pay additional insurance 1100

Expense 2022 1500

User Anindya Chatterjee
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