1. PFRS 17 allows and insurer to charge its accounting policies for insurance contract only if, as a result of its financial statements present information that is more relevant. 2. Outward reinsurance is where the premium and commission shall be accounted for in the different accounting period original policy to which the reinsurance relates. 3. Premium deficiency arises when the unearned premium reserve is less than the estimated claimed related expenses.

1. PFRS 17 allows and insurer to charge its accounting policies for insurance contract only if, as a result of its financial statements present information that is more relevant. 2. Outward reinsurance is where the premium and commission shall be accounted for in the different accounting period original policy to which the reinsurance relates. 3. Premium deficiency arises when the unearned premium reserve is less than the estimated claimed related expenses.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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