Question

How treat unexpired insurance in revaluation account

Answer 1

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Unexpired insurance is the insurance in effect until the coverage you've already prepaid expires. Businesses report this as a current asset on the balance sheet. Anycoverage period above one year goes onto the long-term asset section of the balance sheet.

As the amount of prepaid insurance expires, the expired portion is moved from the current asset account PrepaidInsurance to the income statement account Insurance Expense. This is usually done at the end of each accounting period through an adjusting entry.