Fay Company had the following transactions during the quarter ended March 31, 2020. Loss from typhoon - P350,000 Payment of fire insurance premium for calendar year 2020 - 50,000. What amount should be included in the income statement for the quarter ended March 31, 2020? a.Casualty loss - P350,000 Insurance expense - P50,000 b.Casualty loss - P350,000 Insurance expense - P12,500 c.Casualty loss - P 87,500 Insurance expense - P12,500 d.Casualty loss - P 0 Insurance expense - P50,000
Fay Company had the following transactions during the quarter ended March 31, 2020. Loss from typhoon - P350,000 Payment of fire insurance premium for calendar year 2020 - 50,000. What amount should be included in the income statement for the quarter ended March 31, 2020? a.Casualty loss - P350,000 Insurance expense - P50,000 b.Casualty loss - P350,000 Insurance expense - P12,500 c.Casualty loss - P 87,500 Insurance expense - P12,500 d.Casualty loss - P 0 Insurance expense - P50,000
Intermediate Accounting: Reporting And Analysis
3rd Edition
ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Chapter12: Intangibles
Section: Chapter Questions
Problem 10E: Kling Company was organized in late 2019 and began operations on January 2, 2020. Prior to the start...
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Fay Company had the following transactions during the quarter ended March 31, 2020. Loss from typhoon - P350,000 Payment of fire insurance premium for calendar year 2020 - 50,000. What amount should be included in the income statement for the quarter ended March 31, 2020?
a.Casualty loss - P350,000 Insurance expense - P50,000
b.Casualty loss - P350,000 Insurance expense - P12,500
c.Casualty loss - P 87,500 Insurance expense - P12,500
d.Casualty loss - P 0 Insurance expense - P50,000
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