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Gwar [14]
3 years ago
5

On April 1, a company paid the $1,350 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 first year ended December 31?
Business
1 answer:
inn [45]3 years ago
8 0

Answer:

$337.50

Explanation:

the premium on a three year policy = $1,350

premium per year = $1,350 / 3 = $450

premium per month = $450 / 12 = $37.50

Since the premium covered April to December, 9 months of insurance expense are accrued.

insurance expense for 9 months = $37.50 x 9 = $337.50

The journal entries should be:

April 1, purchase a 3 year insurance policy:

Dr Prepaid insurance 1,350

    Cr Cash 1,350

December 31, accrued insurance expense:

Dr Insurance expense 337.50

    Cr Prepaid insurance 337.50

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Answer and Explanation:

core competency of an organization comprise it's multiple resource, capabilities and skills that gives it a competitive advantage in the market. It was originated in management theory by C. K. Prahalad and Gary Hamel.

For an organization to have core competencies in manufacturing and also research and development putting it's organizational structure and culture to use, it has to:

create a flexible and somewhat independent structure for it's research and development department such that innovation is easy. Control must be decentralized and the team must come first

For the manufacturing department, an organic and participative approach should be encouraged. This would allow inclusive management such that workers are included in decision making processes. Managers should also be given more independence while workers should increasingly be empowered

the organization should also take stringent measures in employing the right people for the research and development as well as the manufacturing department such that these individuals are qualified and possess the needed expertise for their areas. Staff should equally be empowered through constant education and new skill acquisitions and be allowed to impart this knowledge on other staff by encouraging transfers in global expansion.

6 0
3 years ago
An organizational chart of a company shows vice presidents with responsibility for key areas such as design, manufacturing, sale
Romashka-Z-Leto [24]

Answer: Functional

Explanation: The functional structure of an organisational chart places people with similar skills who perform similar activities in a group under a common manager who answers to an executive a level up in the hierarchy who may oversee multiple departments. Therefore, an organizational chart of a company showing vice presidents with responsibility for key areas such as design, manufacturing, sales, marketing, and after-sales support would reflect a functional structure.

An advantage of the functional structure is that employees are allowed to focus their collective energies on executing their roles as a department but sometimes they might develop tunnel vision (seeing the company solely through the lens of the employee’s job function) and often at times there is a lack of inter-departmental communication.

6 0
3 years ago
When a nation removes a tariff on a product, this policy action rev: 06_20_2018 Multiple Choice benefits domestic producers of t
Ray Of Light [21]

Answer:

benefits consumers of the product.

Explanation:

Import tariffs are generally  put in place to protect domestic producers from foreign producers. Tariffs benefit domestic producers but hurt consumers since they are forced to pay higher prices.

When the import tariffs are withdrawn, the domestic price of the goods should decrease, benefiting consumers.

4 0
3 years ago
Which layer communicates with the physical hardware and is responsible for the delivery of signals from the source to the destin
otez555 [7]
<span>The physical hardware and is responsible for the delivery of signals from the source to the destination over a physical communication platform is the data link. The data link allows the layer to communicate in a way that helps everything fall into place.</span>
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3 years ago
To be effective issuing and investing in bonds, knowledge of their terminology, characteristics, and features is essential. For
Gnesinka [82]

Answer: See explanation

Explanation:

A bond’s (face value) is generally $1,000 and represents the amount borrowed from the bond’s first purchaser.

A bond issuer is said to be in (default) if it does not pay the interest or the principal in accordance with the terms of the indenture agreement or if it violates one or more of the issue’s restrictive covenants.

A bond contract feature that requires the issuer to retire a specified portion of the bond issue each year is called a (sinking fund provision).

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