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Crippling Corporation had the following transactions during the quarter ended March 31, 2016:
Loss from typhoon damage 210,000Payment of fire insurance premium for calendar year 2016 300,000
Problem 1: What amount should be included in Crippling's income statement for the quarter ended March 31, 2016?
Typhoon loss Insurance expense Typhoon loss Insurance expense
a. 210,000 300,000 c. 52,500 75,000
b. 210,000 75,000 d. 0 300,000
Financial Statement Analysis and Preparation
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