(Solved): The prepaid insurance account had a beginning balance of \( \$ 3,420 \) and was debited for \( \$ ...

The prepaid insurance account had a beginning balance of \( \$ 3,420 \) and was debited for \( \$ 6,215 \) of premiums paid during the year. Journalize the adjusting entry required at the end of the year, assuming the amount of unexpired insurance related to future periods is \( \$ 2,505 \). Refer to the chart of accounts for the exact wording of the account titles. CNOW journals do not use lines for journal explanations. Every line on a journal page is used for debit or credit entries. CNOW journals will automatically indent a credit entry when a credit amount is entered. Journalize the adjusting entry required at the end of the year (December 31 ), assuming the amount of unexpired insurance related to future periods is \( \$ 2,505 \). Refer to the chart o ournals will automatically indent a credit entry when a credit amount is entered.