Mountaineer Excavation operates in a low-lying area that is subject to heavy-rains and flooding. Because of this, Mountaineer purchases one year of flood insurance in advance on March 1, paying $30,000 ($2,500/month). (1) Record the purchase of insurance in advance on March 1.
(2) Record the adjusting entry on December 31.
(3) Calculate the year-end adjusted balances of Prepaid Insurance and Insurance Expense (assuming the balance of Prepaid Insurance at the beginning of the year is $0).

Non- profit organizations

Explanation:

Nonprofit organizations are institutions that conduct their affairs for the purpose of assisting other individuals, groups, or causes rather than looking for profits for themselves. Nonprofit groups have no shareholders; do not distribute profits in a way that benefits members, directors, or other individuals in their private capacity; and (often) receive exemption from various taxes in recognition of their contributions to bettering the general social fabric of the community.

Social entrepreneurs who start new ventures such as Teach for America and Swipe Out Hunger are usually structured as non-profit organization rather than business firms