20. At 1 July 2020, a company had peepaid insurance of RMK200. On I January 2021, the company paid RM38,000 for insurance for the year to 30 September 2021. What figures should appear for insurance in the company's financial statements for the year ended 30 June 2021? a) Insurance expense RM27,200 : Prepayment RM19,000 b) Insurance expense RM39,300 : Prepayment RM9,500 ) Insurance expense RM36,700: Prepayment RM9,500 d) Insurance expense RMS5,700; Prepayment RM9,500
20. At 1 July 2020, a company had peepaid insurance of RMK200. On I January 2021, the company paid RM38,000 for insurance for the year to 30 September 2021. What figures should appear for insurance in the company's financial statements for the year ended 30 June 2021? a) Insurance expense RM27,200 : Prepayment RM19,000 b) Insurance expense RM39,300 : Prepayment RM9,500 ) Insurance expense RM36,700: Prepayment RM9,500 d) Insurance expense RMS5,700; Prepayment RM9,500
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:20. At 1 July 2020, a company had prepaid insurance of
RM8.200. On 1 January 2021, the company paid RM38,000
for insurance for the year to 30 September 2021. What figures
should appear for insurance in the company's financial
statements for the year ended 30 June 2021?
a) Insurance expense RM27,200 : Prepayment RM19,000
b) Insurance expense RM39,300 : Prepayment RM9,500
c) Insurance expense RM36,700 : Prepayment RM9,500
d) Insurance expense RMS5,700 ; Prepayment RM9,500
21. A company has sublet part of its offices and in the year
ended 30 November 2020 the rent receivable was RMR,400
per year until 30 June 2020 and RM12.000 per year from I
July 2020. Rent was paid quarterly in addvance on I January,
April, July and October each year. What amounts should
appear on the company's financial statements for the year
ended 30 November 2020?
a) Rent income RM9,900 ; RM2,000 in sundry payables
b) Rent income RM9,900 : RMI,000 in sundry payables
c) Rent income RMI0,200 ; RMI,000 in sundry payables
d) Rent income RM9,900 ; RM2,000 in sundry receivables
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