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Ascension Company has estimated that total depreciation expense for the year ending December 31, 2019 will amount to P2,000,000, and the 2019 year-end bonuses to employees will total P4,000,000. Ascension paid P500,000 property taxes assessed for the year 2019. On June 30, 2019, Ascension incurred a permanent inventory loss from a market decline of P800,000 and an extraordinary loss of P200,000. In the interim income statement for the six months ended June 30, 2019, what total amount of expense relating to these items should be reported? 4,250,000 3,850,000 3,750,000 3,450,000

Ascension Company has estimated that total depreciation expense for the year ending December 31, 2019 will amount to P2,000,000, and the 2019 year-end bonuses to employees will total P4,000,000. Ascension paid P500,000 property taxes assessed for the year 2019. On June 30, 2019, Ascension incurred a permanent inventory loss from a market decline of P800,000 and an extraordinary loss of P200,000. In the interim income statement for the six months ended June 30, 2019, what total amount of expense relating to these items should be reported? 4,250,000 3,850,000 3,750,000 3,450,000

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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Ascension Company has estimated that total depreciation expense for the year ending December 31, 2019 will amount to P2,000,000, and the 2019 year-end bonuses to employees will total P4,000,000. Ascension paid P500,000 property taxes assessed for the year 2019. On June 30, 2019, Ascension incurred a permanent inventory loss from a market decline of P800,000 and an extraordinary loss of P200,000. In the interim income statement for the six months ended June 30, 2019, what total amount of expense relating to these items should be reported?

  • 4,250,000
  • 3,850,000
  • 3,750,000
  • 3,450,000
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