Eres Hermoso Company includes one coupon in each box of laundry soap it sells. A towel is offered as a premium to customers who send in 10 coupons and a remittance of P20. 2022 2023 Boxes of soap sold 1,000,000 1,500,000 Number of towels purchased at P100 each 25,000 40,000 Coupons redeemed 200,000 350,000 The experience of the entity indicates that only 30% of the coupons will be redeemed. What is the estimated liability for premiums on December 31, 2023? Eres Hermoso Company includes one coupon in each box of laundry soap it sells. A towel is offered as a premium to customers who send in 10 coupons and a remittance of P20. 2022 2023 Boxes of soap sold 1,000,000 1,500,000 Number of towels purchased at P100 each 25,000 40,000 Coupons redeemed 200,000 350,000 The experience of the entity indicates that only 30% of the coupons will be redeemed. What is the estimated liability for premiums on December 31, 2023? 1,600,000 2,800,000 2,000,000 6,000,000
Eres Hermoso Company includes one coupon in each box of laundry soap it sells. A towel is offered as a premium to customers who send in 10 coupons and a remittance of P20.
2022 2023
Boxes of soap sold 1,000,000 1,500,000
Number of towels purchased at P100 each 25,000 40,000
Coupons redeemed 200,000 350,000
The experience of the entity indicates that only 30% of the coupons will be redeemed. What is the estimated liability for premiums on December 31, 2023?
Eres Hermoso Company includes one coupon in each box of laundry soap it sells. A towel is offered as a premium to customers who send in 10 coupons and a remittance of P20.
2022 2023
Boxes of soap sold 1,000,000 1,500,000
Number of towels purchased at P100 each 25,000 40,000
Coupons redeemed 200,000 350,000
The experience of the entity indicates that only 30% of the coupons will be redeemed. What is the estimated liability for premiums on December 31, 2023?
1,600,000
2,800,000
2,000,000
6,000,000
Step by step
Solved in 2 steps with 2 images
