Question

In January 2015, Post, Inc. estimated that its year-end bonus to executives would be $840,000 for 2015. The actual amount paid for the year-end bonus for 2014 was $770,000. The estimate for 2015 is subject to year-end adjustment. What amount, if any, of expense should be reflected in Post's quarterly income statement for the three months ended March 31, 2015?a. $ 0. b. $192,500. c. $210,000. d. $840,000.

Answer 1

Answer:

c. $210,000.

Explanation:

amount of expense to be reflected in Post's quarterly income statement

= 840,000 / 4

= $210,000

Therefore, The amount of expense that should be reflected in Post's quarterly income statement for the three months ended March 31 is $210,00.