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3:35
YouTube
Edspira
Journal Entry for Prepaid Insurance
This video shows how to record a journal entry for prepaid insurance. Prepaid insurance is initially booked as an asset. As time passes, you decrease the prepaid insurance account and record insurance expense. For example, let's say your company pays $2,400 for a 1-year insurance policy upfront. You would initially debit the Prepaid Insurance ...
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