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What is the treatment you give for the prepaid insurance
created in the year end in the month of April
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Answer Posted / mahendra rajput
Prepaid Insurance A/c... Dr.
To, Insurance A/c
And Prepaid Insurance is shown on Assets side in Balance sheet.
And when the time will occur to pay the same, below entry
would be passed.
Insurance Premium A/c... Dr.
To, Prepaid Insurance A/c
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