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puteri [66]
3 years ago
7

On April 1, a company paid the $3,750 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?
Business
1 answer:
Katena32 [7]3 years ago
7 0

Answer:

$937.50

Explanation:

The Income Statement uses the accruals accounting concept when recording expenses. This concepts state that expenses must the recognized in the period in which they occur. This also applies to revenue or income.

What this means is that for this three-year insurance policy, we will be recognizing as an expense, that portion which has been incurred from the date of purchase to the end of the first financial period that is 9 months.

Calculation of the amount of the insurance expense will be reported on the annual income statement :

Insurance Expense =  $3,750 × 9/36

                                = $937.50

I have converted 3 years (36 months) to months to deal with months only so as to make it easy for apportionment.

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Letting friends on social media know about a publicly posted job opening would be considered as an ethical use of social media by its employees. Everyone who works for a firm should be aware that whatever they post on social media could have an impact on their respective businesses. Their good deeds may, to some extent, benefit their business.

On the other hand, the humiliating behavior or misdeeds of employees can harm the standing of the company they work for. Utilizing social media platforms correctly involves more than just avoiding common blunders. The ethics of using social media are not just about passive behavior, even though the majority of it is about avoiding doing certain things.

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2 years ago
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Stells [14]

Answer: All of these are correct

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Some of the the actions that businesses should take to improve trust in themselves and their brands are conducting advertising campaigns to tell why they should be trusted and also aligning their business mission with the social good.

Consumers love purchasing a product that they can trust and has a well respected brand. When the people realize that the objectives of the company align with the social good and the brand is socially responsible and looks out for them, such brands will be trusted.

7 0
3 years ago
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aev [14]

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maria [59]

Answer:

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3 years ago
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