Listed below are the account titles used by Southside Mattresses, each

Question

of which is identified by a letter. For the following adjustment:
During the period, $600.00 of the balance in the Pre-paid
Insurance account has expired. Indicate the account to be credited.
a. Merchandise inventory f. Income Summary
b. Office Supplies g. Purchases
c. Pre-paid Insurance h. Insurance Expense
d. Accounts Payable i. Office supplies Expense
e. Federal Cooperate j. Federal Cooperate Income Tax
Income Tax Payable Expense

Answer 1

The account to be credited for the adjustment of $600.00 of the expired balance in the Pre-paid Insurance account would be h. Insurance Expense.