Which of the given is included among its adjusting enteries

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Question: The following information is taken from Cruz Company's unadjusted and adjusted trial balances.

Unadjusted Adjusted

Debit Credit Debit Credit

Prepaid insurance . . . . . . . . . . $4,100 $3,700

Salaries payable . . . . . . . . . . $ 0 $800

Given this information, which of the following is likely included among its adjusting entries?

a. A $400 credit to Prepaid Insurance and an $800 debit to Interest Payable.

b. A $400 debit to Insurance Expense and an $800 debit to Interest Payable.

c. A $400 debit to Insurance Expense and an $800 debit to Interest Expense.

Reference no: EM131528190

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