The journal entry on May 1 was:
A debit to Prepaid Insurance for 15,600
And a credit to cash for 15,600
Prepaid Insurance is the share of an insurance premium that
has been paid in early and has not finished as of the balance sheet date.
The monthly insurance payment for two years is computed by 15,600/24
months which is $650 per month.
At December 31 the adjusting entry would be:
A debit to Insurance Expense 5,200
And a credit to Prepaid Insurance for 5,200
5,200 is computed by:
650 x 8 months (starting from May 1 to December 31) = 5,200
Prime rate:- Interest at the lowest rate that is borrowed.
Answer:
There are 18,525 ways to choose at least one of the junior partners to be on the committee.
Explanation:
If all partners can be chosen in any way the choices would be combinations of any 3 partners from all 51 partners. The number of ways to arrange it would be:
A = 
The opposite of choosing at least one junior partner is to choose no junior partner. Those choices would be combinations of any 3 partners from 25 senior partners. The number of ways to arrange it would be
B = 
So the number of ways to choose at least one of the junior partners to be on the committee would be: A - B = 20,825 - 2,300 = 18,525