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ivanzaharov [21]
3 years ago
10

Mouse Inc. uses the alternative method of accounting for prepayments and purchased a $1,200, 6-month insurance policy. The compa

ny immediately debited the Insurance expense account. By the end of the period, $400 of the policy had expired. Demonstrate the required adjustment needed at the end of the period.
Business
1 answer:
zysi [14]3 years ago
3 0

Explanation:

The adjusting journal entry to record the given adjustment is shown below:

At the year-end

Insurance expense A/c Dr. A/c $800

       To Prepaid Insurance A/c $800

(Being insurance expense is recorded)

The computation is given below:

= Prepayment done for 6 months insurance policy - expired insurance

= $1,200 - $400

= $800

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Information in the Financial Statements A financial statement is a summary of all the financial transactions that have occurred
4vir4ik [10]

<em>Here's the remaining part of the question</em><em>:</em>

<em>Please analyze and place each item in the appropriate financial statement to which it belongs;</em>

<em> Revenues, Long-term liabilities, Owner's equity, Insurance expense, Land, Patents, Costs of Goods Sold, Income tax, Advertising expense,  Insurance expense, Net change in cash, Accounts Receivable</em>

<u>Explanation</u>:

1. Balance Sheet: Note that this financial statement usually shows the asset and liabilities of the firm's account for a particular period of time. These items are found:

  • Owner's equity,
  • Patents,
  • Long-term liabilities
  • Accounts Receivable
  • Land

2. Income Statement: this financial statement is primarily focused on the revenues and expenses expenses of the firm. Items found includes;

  • Revenue,
  • Costs of Goods Sold,
  • Advertising expense,
  • Income tax,
  • Insurance expense,

3. Statement of cash flow

  • Net change in cash,

8 0
3 years ago
Which of the following is a suggested policy on executive smartphone use?
azamat

Answer:

B. all of the above

Explanation:

Suggested policy on executive smartphone use:

  • Smartphone configuration and archiving policies.
  • A mandatory password requirement for smartphones.
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3 0
3 years ago
Describe why most countries are described as having a mixed economy​
Tamiku [17]

Explanation:

A mixed economic system is a system that combines aspects of both capitalism and socialism. A mixed economic system protects private property and allows a level of economic freedom in the use of capital, but also allows for governments to interfere in economic activities in order to achieve social aims.

8 0
3 years ago
The Family and Medical Leave Act: Multiple Choice protects recovering drug addicts and those erroneously believed to be drug abu
Phantasy [73]

Answer:

entitles eligible employees of covered employers to take job-protected, unpaid leave for certain family-related or medical reasons.

Explanation:

The Family and Medical Leave Act is a labor law enacted by the 103rd United States Congress and signed by President Bill Clinton on the 5th of February, 1993.

The Family and Medical Leave Act entitles eligible employees of covered employers to take job-protected, unpaid leave for certain family-related or medical reasons.

7 0
3 years ago
If a firm experiences productivity gains from employee specialization, its marginal cost_________.
postnew [5]

Answer:

correct option is C. decreases at a decreasing rate.

Explanation:

solution

when an organization gain productivity than its marginal cost will be decreases at a decreasing rate  

as here when initial specialization of employee is lead to an significant reduction in the marginal costs though the more specialized people get

and less additional amount is save due to the  specialization

so here correct option is C. decreases at a decreasing rate.

4 0
3 years ago
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