Determine whether the following statements are true or false, then mark the appropriate multiple choice answer. insurance and unearned revenue are accounts that generally do not need to be adjusted at the end of the accounting period. accounts must be adjusted at the end of the period. adjusting entry will affect both the income statement and the balance sheet. november 1, a company paid $6,000 for 6 months of insurance, to cover the period november 1 - april 30. the company's december 31st balance sheet should include prepaid insurance of $2,000. select one: a. true, false, true, false b. false, false, true, false c. true, false, true, true d. true, true, true, true

Costco wholesale corporation operates membership warehouses selling food, appliances, consumer electronics, apparel and other household goods at 471 locations across the u. s. as well as in canada, mexico and puerto rico. as of its fiscal year-end 2005, costco had approximately 21.2 million members. selected fiscal-year information from the company's balance sheets follows. ($ millions). selected balance sheet data 2005 2004 merchandise inventories $4,015 $3,644 deferred membership income (liability) 501 454 (a) during fiscal 2005, costco collected $1,120 cash for membership fees. use the financial statement effectstemplate to record the cash collected for membership fees. (b) in 2005, costco recorded $46,347 million in merchandise costs (that is, cost of goods sold). record thistransaction in the financial statement effects template. (c) determine the value of merchandise that costco purchased during fiscal-year 2005. use the financial statementeffects template to record these merchandise purchases. assume all of costco's purchases are on credit.