User Account

All Pages

What is the amount of prepaid insurance to be reflected

Assignment Help Accounting Basics
Reference no: EM133155144

Question 1 - Crispin Santos started a retail merchandise business on January 1, 2021. During the year ended December 31, 2021, the entity paid trade creditors P2,000,000 and suffered a net loss of P350,000. The ledger account preclosing balances on December 31, 2021 included the following:

Accounts receivable- P600,000

Accounts payable- P750,000

Capital (total investment in cash)- P2,000,000

Expenses (paid in cash)- P100,000

Merchandise (unadjusted debit balance)- P700,000

There were no withdrawals. All sales and purchases were on credit. The merchandise account is debited for purchases and credited for sales. What is the amount of purchases for the year?

a. P2,750,000

b. P2,000,000

c. P2,800,000

d. P1,950,000

Question 2 - ABC Company acquired a fire insurance on Nov. 1, 2021. The company paid P12,000 for the said annual insurance. ABC uses asset method. What is the amount of Prepaid Insurance to be reflected on ABC Company Statement of Financial Position at the end of the year?

a. P12,000

b. P10,000

c. P0

d. P2,000

Reference no: EM133155144

Questions Cloud

Evidence-based research and decision making : How does your employer use evidence-based practices?
How much did you borrow : You repay the loan by making three annual payments of $232 (first payment made at t=1), How much did you borrow
Empirical evidence and change management theories : "Research says that 75% of organisation change initiatives tend to fail." This should be discussed in reference to empirical evidence and change management theo
Specifically identify the status offense laws : In a list that you make in your report, specifically identify the status offense laws that are being violated by each of the underage teens.
What is the amount of prepaid insurance to be reflected : The company paid P12,000 for the said annual insurance. ABC uses asset method. What is the amount of Prepaid Insurance to be reflected
Difference between hearing and listening : 1. What is the difference between hearing and listening, and why does it matter? Within a minimum of 150 words give specific examples and connect them to the id
Caught stealing bicycle : A young person is caught stealing a bicycle. Which of these approaches do you think is the most beneficial to that individual?
Identify strategies healthcare administration can utilize : Compare ethical considerations between the perspective of a healthcare executive versus that of a patient or employee for the two terms above. Also identify str
Biological-sociological factors explain violent actions : What types of theories or biological/sociological factors explain violent actions?

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Theory of interest - term structure of interest rates

Term Structure of Interest Rates

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd