Banking and Finance(1)Takaful premiums areSelect one:O a. recognized as deposits that must be returned to the participants at the end of businessyearO b. considered as trust held by the operator on behalf of the participantsc. paid in return for an insurance coverd. all of the optionsNext pas

Takaful is a type of Islamic insurance wherein members contribute money into a pool system to…

Answered: Banking and Finance(1) Takaful premiums…

Banking and Finance(1) Takaful premiums are Select one: O a. recognized as deposits that must be returned to the participants at the end of business year

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter3: Analyzing And Recording Transactions

Section: Chapter Questions

Problem 34MC: What type of account is prepaid insurance? A. Stockholders Equity B. Expense C. Liability D. Asset

See similar textbooks

Related questions

Q: - Our business opened a 1-year maturity deposit account of 160,000 TL on 01.09.202. The interest…

A: Interest income is the income earned by the company on the investment. The company considers only…

Q: Receiving cash upon issuing a 5 year note payable would be included in which of the following…

A: Cash flow statement: It is a statement which reports the cash inflows and outflows of a business…

Q: Match (by letter) the correct reporting method for each of the items listed below. Reporting Method…

A: Current liability : Current liabilities are those liability which are due within a year. Long term…

Q: Which one of the following is a current assets? a. Note payable in eleven months b. Estimated…

A: Current assets refers to the assets which can be used or sold over a period of 12 months. Current…

Q: Which obligation are classified as current even if they are due to be settled after more than twelve…

A: Current obligations are those obligations which needs to be settled or paid out within a period of…

Q: From the following particulars of Zenith Insurance company prepare the revenue account and the…

A: Balance sheet is prepared to measure the amount of assets, liabilities and capital pertaining to the…

Q: The treasurer of Landowska Co. has heard that conservatismis a doctrine that is followed in…

A: 1.

Q: On November 1, Lee Corporation borrowed 10,000 by signing a six-month 5% bank loan payable. On this…

A: When a loan is borrowed which is a liability, Loan Payable A/c will be credited by the amount of the…

Q: Indicate whether each of the following assets and liabilities typically should be classified as…

A: Current assets - Assets which are convertible into cash within a period of one year. Long-term…

Q: Determine if this shall result in recognition of liabilities 10. receipt of cash from a customer…

A: As per IFRS 15, Revenue Recognition standard Revenue is to be recognized when the performance…

Q: ABC Company borrows money under various loan agreement involving notes discounted and notes…

A: As per accrual basis of accounting, all expenses and incomes of the business for the particular…

Q: Interest on Mookie The Beagle COncierge's Loan Payable to CK has been incurred, but not recorded or…

A: Accrued expenses are those expenses which are incurred in current period and must be part of current…

Q: c. How will the annual note payment be reported in the Year 1 income statement? of $ would be…

A: Interest expenses of $5720 will be in Income Statement in Year 1.

Q: If a company borrows money from a bank and signs an agreement to repay the loan several years from…

A: Liability is the sum of money or any thing in kind which is owed by an individual or companies to…

Q: When a lessor paid an advance payment to a lessee for two years rent and records this using the…

A: SOLUTION- EXPLANATION- THE COMPLETE AMOUNT IS RECORDED IN THE EXPENSE ACCOUNT WHEN RECORDING A…

Q: 1. In the _____, a balance is calculated at the end of each each, incorporating any purchases,…

A: Fill in the blanks in the step 2.

Q: Things to remember -The business began on August 1, 2018, and has selected a July 31, 2019, fiscal…

A: Journal entry is the original book of entry in which all the transactions relating to business are…

Q: RECEIVABLE FINANCING REQUIRED: 1. At what amount on the current assets section of the December 31,…

A: Account receivable is the amount of which is owned from the customer for the credit sales made to…

Q: Fifty Incorporated normally borrows from a bank to finance their daily operations. Information about…

A: Cash basis of accounting is that basis of accounting under which all expenses paid in cash and all…

Q: Suppose Alladin Travel, Inc., holds a note receivable as an investment. At the endof June, $100 of…

A: Given information is: Suppose Alladin Travel, Inc., holds a note receivable as an investment. At…

Q: Ifa company borrows money from a bank and signs an agreement to repay the loan several years from…

A: Borrowing: It can be defined as the money that is borrowed by the business from the lender to…

Q: 1. Interest paid on interest invested is called _____ interest.?

A: Annuity: An annuity is the series of payments which is received or paid for a certain period of…

Q: Deb secured a line of credit for her business and received the following statement of account for…

Q: Answer the following questions: 1. The following is the trial balance of Big bank LLC as on…

A: Preparation of the Income statement and the Balance sheet of the banking sector is some what…

Q: determining the amount of the remittance.

A: Remittance of Amount :- Amount which is Remittance after deducting Commission & any other…

Q: On 9/1, the Knight's Stop issues a new the previous year. The new part was is: On 9/1, Knight's Stop…

A: Warranty are provided to customers and warranty are laibilties of customers to company for warranty…

Q: A written Promissory Note, issued by a creditworthy corporation or a municipality and its maturity…

A: Creditworthy companies and municipalities issue short-term promissory notes in the money markets for…

Q: HELLO reported the following items on its December 31, 2020 trial balance: Accounts Payable Advances…

A: Total liabilities of a balance sheet show the amount that a company or entity owes.

Q: On Jan 1, 20X1 received a 3-year interest bearing note collectible in 6 equal semi-annual periods.…

A: Note Receivable- Notes receivable are written promissory notes that allow you to collect a specific…

Q: Receivables from officers, employees or affiliated companies should be reported in the statement of…

A: Balance sheet The purpose of preparing the balance sheet is to determine the current position of…

Q: A company collects an honored note with a maturity date of 24 months from establishment, a…

A: Note receivable is one of the current asset of the business. It means business has to receive some…

Q: Prepare the Revenue Account and Balance sheet for the year ended 31-3-2020 after taking in…

A: Answer - The balance sheet shows what a company owns (assets) and owes (liabilities) at a specific…

Q: Notes payable due in six months are reported asa. current liabilities on the balance sheet.b.…

A: Current assets - Assets which are convertible into cash within a period of one year. Long-term…

Q: Interest Income 4,500 What amount will be reported on the balance sheet at the end of the year for…

A: Income Statement is an summary of all revenues, gains and all expenses and losses incurred during…

Q: Which one of the following is example of prepaid expenses? A. Provision for warranty expenses B.…

A: Prepaid expenses are those expenses which are paid in current year but pertains to future period of…

Q: Which of the following would appear on the balance sheet as a current liability? Group of answer…

A: Current liabilities are short term financial obligation which are due in normal operating cycle.

Q: A note receivable due in 18 months is listed on the balance sheet under the caption A. current…

A: Current assets include the assets owned by a business organization that can be converted into cash…

Q: A business issued a 45-day, 6% note for $210,000 to a creditor on account. Required: Journalize…

A: Interest on notes = Notes payable x rate of interest x days/360 = $210,000*6%*45/360 = $1,575

Q: On October 1, Black Company receives a 4% interest bearing note from Reese Company to settle a…

A: Accounts receivable = $19400 Periods remaining in the current year = 3 months Interest rate = 4% per…

Q: The following transactions are from Ohlm Company. Year 1 Dec. 16 Accepted a $10,800, 60-day, 8% note…

A: Bookkeeping can be defined as the recording, classifying, summarizes, interpreting, analyzing, and…

Q: (b) An accountant needs to allocate the principal and simple interest on a loan payment into the…

A: Simple interest is a method of calculating interest on a principal amount. The basic feature of the…

Question

Banking and Finance(1)
Takaful premiums are
Select one:
O a. recognized as deposits that must be returned to the participants at the end of business
year
O b. considered as trust held by the operator on behalf of the participants
c. paid in return for an insurance cover
d. all of the options
Next pas

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

SEE SOLUTION Check out a sample Q&A here

Step 1: Takaful premium

VIEW

Step 2: The correct option is -

VIEW

Step by step

Solved in 2 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, finance and related others by exploring similar questions and additional content below.

Similar questions

Listed below are several terms and phrases associated with current liabilities. Pair each item from List A (by letter) with the item from List B that is most appropriately associated with it. List A List B 1. An IOU promising to repay the amount borrowed plus interest. 2. Payment amount is reasonably possible and is reasonably estimable. 3. Mixture of liabilities and equity a business uses. 4. Payment amount is probable and is reasonably estimable. 5. A liability that requires the sacrifice of something other than cash. 6. Long-term debt maturing within one year. 7. FICA and FUTA. 8. Informal agreement that permits a company to borrow up to a prearranged limit. 9. Classifying liabilities as either current or longterm helps investors and creditors assess this. 10. Amount of note payable × annual interest rate × fraction of the year. a. Recording of a contingent liability. b. Deferred revenue. c. The riskiness of a business’s obligations. d. Disclosure of a contingent liability.…
3- Which of the following is an arrangement by which one party promises to pay a sum of money to policyholder as protection against an adverse or unfavorable occurrence of event? a. Investment b. Fixed Deposit c. Insurance d. Short Term Loans
1. Total receivables will remain unchanged for which of the following? a) Notes receivable discounting without recourse b) Collection of trade accounts receivable c) Assignment of receivables d) Factoring of receivables 2. An entity has 25% investment in ordinary share and 20% investment in preference share over the investee. Which of the following is TRUE? a) Both investments may be classified as Investment in Associate b) The 20% may be classified as Investment at amortized cost and 25% may be classified as Investment at fair value c) Both investments may be classified as Investment at Fair Value d) The 25% interest may be classified as Investment at fair value and 20% may be classified as Investment in Associate 3. Purchases of merchandise inventories are always recorded net of: a) Trade discount b) Cash discount c) Sales discount d) Purchase discount 4. Which of the statements is incorrect concerning the depreciation methods? a) Under the output method, the cost per unit of…
State how each of the following accounts should be classified on the balance sheet. (a) Treasury Stock (b) Retained Earnings (c) Vacation Pay Payable (d) Foreign Currency Translation Adjustment (e) Allowance for Bad Debts (f) Liability for Pension Payments (g) Investment Securities (Trading) (h) Paid-In Capital in Excess of Stated Value (i) Leasehold Improvements (j) Goodwill (k) Receivables—U.S. Government Contracts (l) Advances to Salespersons (m) Premium on Bonds Payable (n) Inventory (o) Patents (p) Unclaimed Payroll Checks (q) Income Taxes Payable (r) Subscription Revenue Received in Advance (s) Interest Payable (t) Deferred Income Tax Asset (u) Tools (v) Deferred Income Tax Liability
What type of account is prepaid insurance? A. Stockholders Equity B. Expense C. Liability D. Asset
1. Anton wants to have a portion of ownership of a certain company. Which of the following should he invest? A. Annuity B. Bonds C. Shares D. Stocks 2. What writtwn contract is exhibited by a debtor that is legally binding which stipulates the amount borrowed at a specified tine in the future? A. Stocks B. Annuity C. Amortization D. Bonds 3. Which of the following covers when the frequency of the regular payment is different from the frequency of interest conversion? A. Bonds B. Ammortilation C. General annuity D. Simple annuity 4. What term is refers to the type of arrangement where composition is important but not order? A. Courting B. Permutation C. Multiplication rulw D. Combination 5. If p q is a tautology, then what can you inter about p and q? A. P and Q are either true or false but not both B. P and Q are always false C. P and Q are always true D. P and Q are either both true or false both false
Which one of the following item will be debited in profit and loss appropriation account? a. Interest on drawings b. Interest on deposits c. Bonus to partners d. Interest on loan *fast********
Increase in the value of bills payable will be: a. Credited to partners' capital account b. Debited to partners' capital account c. Debited to revaluation account d. Credited to revaluation account *****FAST
Classify the following items as (1) on-balance-sheet assets, (2) on-balance sheet liabilities, (3) offbalance-sheet assets, (4) off-balance-sheet liabilities, or (5) capital account. • Loan commitments. • Loan loss reserves. • Letter of credit. • Bankers acceptance. • Rediscounted bankers acceptance. • Loan sales without recourse. • Loan sales with recourse. • Forward contracts to purchase. • Forward contracts to sell. • Swaps. • Loan participations. • Securities borrowed. • Securities lent. • Loss adjustment expense account (PC insurers). • Net policy reserves
Which of the following is a liability created when a company receives cash for services to be provided in the future? Select one: a. Unearned revenue b. Estimated warranty payable c. Service revenue d. Accrued liability
FAST PLZ - Which of the following is a contra-liability account? a. Notes Payable b. Discount on Notes Payable c. Accumulated Amortization d. Taxes Payable
Long-Term Liabilities are reported on a company's balance sheet at the present value of all future payments using Multiple Choice the current market interest rate the interest rate provided by the Government the prime interest rate none of these the market interest rate at the time the liability was incurred