Question
In: Accounting
On April 1, a company paid the $1,800 premium on a three-year insurance policy with benefits...
On April 1, a company paid the $1,800 premium on a three-year insurance policy with benefits beginning on that date. What amount of the insurance expense will be reported on the annual income statement for the year ended December 31?
a. $1,350.00.
b. $450.00.
c. $600.00.
d. $1,800.00.
e. $50.00.
Solutions
Expert Solution
b. $450.00.
Amount of the insurance expense = $1,800 × 9/36
Amount of the insurance expense = $450
ekkarill92 answered 2 years agoRelated Solutions
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