. Following are balances from the books of East & West Insurance on 31/12/2017 (in JDs); Reinsurance receivable 9 000, Gross written premiums 25 000, Ceded premiums 7000 Reinsurance share in paying claims 2000, Deferred income tax 1800, Unearned premium reserve, net 4000, Accrued expenses 1250, Income tax provision 3500, Reinsurance share of written premiums 10 000, Net change in unearned premiums reserve 1000 Recoveries 1000, Statutory reserve 7000, Outstanding claims reserve, net 2500, Checks under collection 5000, Paid claims 12000, Allocated employees' expenses 3000, Policies acquisition costs 250, Paid in capital ???, Reinsurance payable 5500, Accrued expenses 2500, Property and equipment, net 30 000. Cash in hands and at banks 12000 Accounts Receivable 7000, Bank deposits, 50 000, Financial assets at fair value through profit or loss 12000, Allowance for doubtful debts 1000, Commissions revenue 1 200, Interest revenue 500, Allocated administrative & general expenses 2000, Unallocated employees expenses 500, Depreciation 53 787, unallocated administrative & general expenses 300. Insurance policies issuance fees. Prepare an income statement for 2017.
. Following are balances from the books of East & West Insurance on 31/12/2017 (in JDs); Reinsurance receivable 9 000, Gross written premiums 25 000, Ceded premiums 7000 Reinsurance share in paying claims 2000, Deferred income tax 1800, Unearned premium reserve, net 4000, Accrued expenses 1250, Income tax provision 3500, Reinsurance share of written premiums 10 000, Net change in unearned premiums reserve 1000 Recoveries 1000, Statutory reserve 7000, Outstanding claims reserve, net 2500, Checks under collection 5000, Paid claims 12000, Allocated employees' expenses 3000, Policies acquisition costs 250, Paid in capital ???, Reinsurance payable 5500, Accrued expenses 2500, Property and equipment, net 30 000. Cash in hands and at banks 12000 Accounts Receivable 7000, Bank deposits, 50 000, Financial assets at fair value through profit or loss 12000, Allowance for doubtful debts 1000, Commissions revenue 1 200, Interest revenue 500, Allocated administrative & general expenses 2000, Unallocated employees expenses 500, Depreciation 53 787, unallocated administrative & general expenses 300. Insurance policies issuance fees. Prepare an income statement for 2017.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Q2. Following are balances from the books of East & West Insurance on 31/12/2017 (in JDs);
Reinsurance receivable 9 000, Gross written premiums 25 000, Ceded premiums 7000 Reinsurance share in paying claims 2000, Deferred income tax 1800, Unearned premium reserve, net 4000, Accrued expenses 1250, Income tax provision 3500, Reinsurance share of written premiums 10 000, Net change in unearned premiums reserve 1000 Recoveries 1000, Statutory reserve 7000, Outstanding claims reserve, net 2500, Checks under collection 5000, Paid claims 12000, Allocated employees' expenses 3000, Policies acquisition costs 250, Paid in capital ???, Reinsurance payable 5500, Accrued expenses 2500, Property and equipment, net 30 000. Cash in hands and at banks 12000 Accounts Receivable 7000, Bank deposits, 50 000, Financial assets at fair value through profit or loss 12000, Allowance for doubtful debts 1000, Commissions revenue 1 200, Interest revenue 500, Allocated administrative & general expenses 2000, Unallocated employees expenses 500, Depreciation 53 787, unallocated administrative & general expenses 300. Insurance policies issuance fees.
Prepare an income statement for 2017.
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