Dark Inc. paid P72,000 to renew the only insurance policy for three years on March 1, 2021, the effective date of the policy. On March 31, 2021, the unadjusted trial balance showed a balance of P3,000 for prepaid insurance and P72,000 for insurance expense. What amount should be reported for prepaid insurance on March 31, 2021? a. 55,000 b. 70,000 c. 65,000 d. 60,000
Dark Inc. paid P72,000 to renew the only insurance policy for three years on March 1, 2021, the effective date of the policy. On March 31, 2021, the unadjusted trial balance showed a balance of P3,000 for prepaid insurance and P72,000 for insurance expense. What amount should be reported for prepaid insurance on March 31, 2021? a. 55,000 b. 70,000 c. 65,000 d. 60,000
Chapter4: The Adjustment Process
Section: Chapter Questions
Problem 11Q: If the Prepaid Insurance account had a balance of $12,000, representing one years policy premium,...
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Dark Inc. paid P72,000 to renew the only insurance policy for three years on March 1, 2021, the effective date of the policy.
On March 31, 2021, the unadjusted
What amount should be reported for prepaid insurance on March 31, 2021?
a. 55,000
b. 70,000
c. 65,000
d. 60,000
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