ExerciseThe Insurance company GENINS started operating at01.01.2008, having zero operational expenses and pursuing gain in 30% ofthe earned premium. The Company issues each day a contract with annualpremium equal to 1000 € (Assume that every month has 30 days). Theclaims occure, are announced and settled immediately. In year 2008 thecompany paid claims of 150.000 €. If you were the Actuary in the particularcompany would you suggest adjustment of the individual premium of 1000 €and in what percentage?

Insurance refers to the contract between the insurance company and the insurer for life or other…

Answered: Exercise The Insurance company GENINS…

College Accounting, Chapters 1-27 (New in Accounting from Heintz and Parry)

22nd Edition

ISBN:9781305666160

Author:James A. Heintz, Robert W. Parry

Publisher:James A. Heintz, Robert W. Parry

Chapter9: Payroll Accounting: Employer Taxes And Reports

Section: Chapter Questions

Problem 6SEA

See similar textbooks

Similar questions

SUTA taxes on July 31, 20--. WORKERS COMPENSATION INSURANCE AND ADJUSTMENT Columbia Industries estimated that its total payroll for the coming year would be 385,000. The workers compensation insurance premium rate is 0.2%. REQUIRED 1. Calculate the estimated workers compensation insurance premium and prepare the journal entry for the payment as of January 2, 20--. 2. Assume that Columbia Industries actual payroll for the year is 396,000. Calculate the total insurance premium owed and prepare a journal entry as of December 31, 20--, to record the adjustment for the underpayment. The actual payment of the additional premium will take place in January of the next year.
Whole Leaves wants to upgrade their equipment, and on January 24 the company takes out a loan from the bank in the amount of $310,000. The terms of the loan are 6.5% annual interest rate, payable in three months. Interest is due in equal payments each month. Compute the interest expense due each month. Show the journal entry to recognize the interest payment on February 24, and the entry for payment of the short-term note and final interest payment on April 24. Round to the nearest cent if required.
(Determine Transaction Price) Aaron’s Agency sells an insurance policy offered by Capital Insurance Company for a commission of $100 on January 2, 2017. In addition, Aaron will receive an additional commission of $10 each year for as long as the policyholder does not cancel the policy. After selling the policy, Aaron does not have any remaining performance obligations. Based on Aaron’s significant experience with these types of policies, it estimates that policyholders on average renew the policy for 4.5 years. It has no evidence to suggest that previous policyholder behaviorwill change.Instructions(a) Determine the transaction price of the arrangement for Aaron, assuming 100 policies are sold.(b) Determine the revenue that Aaron will recognize in 2017.
A company purchase an equipment at a price of RM368 000 and makes a down payment of 10% of the purchase price. The company amortises the balance with 360 monthly payments at an annual interest rate of 4.5% which is compounded mothly.(a) Calculate(i) the monthly payment (ii) the total interest payable (b) If the company does not settle the first six monthly payments, determine the total amount payable on the seventh month. Assume no extra charge on late payment.(c) If the monthly payment is RM1996.40, calculate the number of monthly payments required to amortise the loan.
Automotive Excellence Inc. borrowed $18,000.00 on june 21 with an interest rate of 8.9% per annum. On july5, $6000.00 was repaid, and on august 10, $5000.00 was repaid. Automotive Excellence paid the balance of the loan on October 11. What was the final payment? The final payment was $ (Round the final answer to the nearest cent as needed.
Eng Hardwares has the following balance as at 30 November 2020:Accounts RM’000Wages(Debit) 110,000Insurance (Debit) 2,000Rental (Credit) 50,0004Additional information:i. Eng Hardwares pays wages to its workers at the end of every month. However,some internal problems arise and it did not pay wages amounting to RM10,000 to itsworkers on time on the last day of December 2020.ii. It paid RM10,000 for insurance covered from period December 2020 until March2021 on 3rd December 2020.iii. It rents out part of its warehouse to another business for RM2,000 per month andreceives the rent on the last day of each quarter on 31st March, 30th June, 30thSeptember, and 31st December. However, the tenant has some financial difficultiesand failed to pay the three-month rent from October 2020 to December 2020 on 31December, 2020.iv. On 1 December 2020 it received RM21,600 for a one year rental from a new tenant.Required:-Prepare the journal entry for the reversal of the balance on the last day of…
Eng Hardwares has the following balance as at 30 November 2020:Accounts RM’000Wages(Debit) 110,000Insurance (Debit) 2,000Rental (Credit) 50,0004Additional information:i. Eng Hardwares pays wages to its workers at the end of every month. However,some internal problems arise and it did not pay wages amounting to RM10,000 to itsworkers on time on the last day of December 2020.ii. It paid RM10,000 for insurance covered from period December 2020 until March2021 on 3rd December 2020.iii. It rents out part of its warehouse to another business for RM2,000 per month andreceives the rent on the last day of each quarter on 31st March, 30th June, 30thSeptember, and 31st December. However, the tenant has some financial difficultiesand failed to pay the three-month rent from October 2020 to December 2020 on 31December, 2020.iv. On 1 December 2020 it received RM21,600 for a one year rental from a new tenant.Required:-Prepare the journal entry for the reversal of the balance on the last day of…
A company borrowed P45,200 from a savings and loan association that charges 14% converted quarterly. To pay off the loan, the company promised to pay P2,000 every 3 months. a. When will the company make the last P2,000 payment? b. Find the final irregular payment if it is made 3 months after the last regular payment date. c. Find the final irregular payment if it is made on the day of the last regular payment.
On April 1, 2021, JPG Company sold for P84,000 a stereo which paid had a cost of P54,600. A down payment of P9,000 was made with the provision that additional payments of P7,500 be made monthly thereafter. Interest was to be charged at a monthly rate of 2% on the unpaid balance of the principal; the monthly installment was to apply first to the interest then to the balance of the principal. After completing four months installment the customer defaulted and the stereo was repossessed. At this time, the market value of the stereo was estimated to be P22,500. What is the net income (loss) at the end of the year?
Eng Hardwares has the following balance as at 30 November 2020:Accounts RM’000Wages(Debit) 110,000Insurance (Debit) 2,000Rental (Credit) 50,000Additional information:i. Eng Hardwares pays wages to its workers at the end of every month. However, some internal problems arise and it did not pay wages amounting to RM10,000 to its workers on time on the last day of December 2020.ii. It paid RM10,000 for insurance covered from period December 2020 until March 2021 on 3rd December 2020.iii. It rents out part of its warehouse to another business for RM2,000 per month and receives the rent on the last day of each quarter on 31 stMarch, 30th June, 30th September, and 31 st December. However, the tenant has some financial difficulties and failed to pay the three-month rent from October 2020 to December 2020 on 31 December, 2020.iv. On 1 December 2020 it received RM21,600 for a one year rental from a new tenant. Required:-Prepare the journal entry for the reversal of the balance on the last day of…
Eng Hardwares has the following balance as at 30 November 2020:Accounts RM’000Wages(Debit) 110,000Insurance (Debit) 2,000Rental (Credit) 50,000 Additional information:i. Eng Hardwares pays wages to its workers at the end of every month. However,some internal problems arise and it did not pay wages amounting to RM10,000 to itsworkers on time on the last day of December 2020.ii. It paid RM10,000 for insurance covered from period December 2020 until March2021 on 3rd December 2020.iii. It rents out part of its warehouse to another business for RM2,000 per month andreceives the rent on the last day of each quarter on 31st March, 30th June, 30thSeptember, and 31st December. However, the tenant has some financial difficultiesand failed to pay the three-month rent from October 2020 to December 2020 on 31December, 2020.iv. On 1 December 2020 it received RM21,600 for a one year rental from a new tenant. Required:-Prepare the journal entry for the reversal of the balance on the last day of…
during november 2020 marvin's pre owned vechiles lts sells high end car for 120,000. the cost of the vehicle was 55 000, resulting in a gross profit of $65,000 The $120,000 sale price is to be paid four equal instalment on Dec. 31 in each of the years 2021 to 2024. Marvin's pre owned vehicles ltd. has a december 31 year end. Requirements. A. The amount of the reserve that can be deducted B. The net business income

SEE MORE QUESTIONS

Recommended textbooks for you

College Accounting, Chapters 1-27 (New in Account…

Accounting

ISBN:

9781305666160

Author:

James A. Heintz, Robert W. Parry

Publisher:

Cengage Learning

College Accounting, Chapters 1-27

Accounting

ISBN:

9781337794756

Author:

HEINTZ, James A.

Publisher:

Cengage Learning,

Principles of Accounting Volume 1

Accounting

ISBN:

9781947172685

Author:

OpenStax

Publisher:

OpenStax College

College Accounting, Chapters 1-27 (New in Account…

Accounting

ISBN:

9781305666160

Author:

James A. Heintz, Robert W. Parry

Publisher:

Cengage Learning

College Accounting, Chapters 1-27

Accounting

ISBN:

9781337794756

Author:

HEINTZ, James A.

Publisher:

Cengage Learning,

Principles of Accounting Volume 1

Accounting

ISBN:

9781947172685

Author:

OpenStax

Publisher:

OpenStax College

SEE MORE TEXTBOOKS