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katrin [286]
3 years ago
5

What is the proper adjusting entry at December 31, the end of the accounting period, if the balance in the prepaid insurance acc

ount is $8,350 before adjustment, and the unexpired amount per analysis of policies is $3,550?
Business
1 answer:
Darina [25.2K]3 years ago
6 0

Answer:

Insurance $4,800 (debit)

prepaid insurance $4,800 (credit)

Explanation:

In order to find out adjusting entries. firstly, we need to calculate the difference between prepaid insurance account and Insurance account.

That could be done by subtracting $3,550 from $8,350.

Difference = 8350-3550= 4800

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Company policy does not allow us to give cash refunds effectively explains why a writer's request must be refused.
4vir4ik [10]
That statement is false.

Often time, company's policy regarding refund is written in overly complicated manners so the company is protected from the potential legal attack by the consumers. So I guess this would make the informing effort became ineffective for the consumers.

4 0
2 years ago
Mary is a new supervisor working with a preexisting staff that has resisted many of the new policies she has put into place. Mar
inna [77]

Answer:

by clearly state why the change is needed and how it will affect employees

Explanation:

An employee's resistance usually occurs when an employee feels insecure about changes or his position in the organization. A good leader must find out what are the main reasons why employees create resistance and thus devise a strategy to break down these barriers. In the case of supervisor Mary, clearly communicating about changes and the future of employees was effective in breaking down the barriers of employee insecurity about the changes that will occur in that company.

5 0
3 years ago
Deferral adjustments are needed when the business:
prisoha [69]

Answer:

The correct answers are the options B and D: Pays cash before the expense has been incurred. And receives cash before the revenue has been generated.

Explanation:

To begin with, in the accounting field the term of "Deferral Adjustments" refers to those that the accountant does when they postpone the report of it in the income statement until a later period, so that means that when an event happens they might decide to postpone the report of that particular transaction doing what it is called "defer". Moreover, the two most common cases when the accountants use this technique are the ones choosen from the options, the cases B and D.

6 0
3 years ago
The largest asset class on u.s. commercial banks' balance sheet as of september 30, 2012 was
Thepotemich [5.8K]
Answer: real estate loans
6 0
2 years ago
Consider an offer to supply 5 paintings per year to an art gallery in Rome for the next five years. The contract is exclusive, m
IceJOKER [234]

Answer:

I will accept the offer if the price per painting is $56,312.41 or higher.

Explanation:

We will calculate the present value of the other option which is, selling our painting as a freelancer.

C \times \frac{1-(1+r)^{-time} }{rate} = PV\\

C 315,000.00

time 5

rate 0.2

315000 \times \frac{1-(1+0.2)^{-5} }{0.2} = PV\\

PV $942,042.8241

Now, we subtract the signing bonus of 100,000

942,042.83 - 100,000 = 842,042.83

And solve for the annual proceeds from the painting we need to equalize the opportunity cost:

PV \div \frac{1-(1+r)^{-time} }{rate} = C\\

PV 842,042.83

time 5

rate 0.2

842042.83 \div \frac{1-(1+0.2)^{-5} }{0.2} = C\\

C  $ 281,562.03

Now, we divide by the 5 painting per year:

$281,562.03 per year / 5 painting per year = $56,312.41

3 0
2 years ago
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