Love company included one coupon in each package sold. A premium is offered to the costumer whosend in 10 coupons.20212022Number of package soldNumber of premiums purchased at P40 eachNumber of premium distributedNumber of premiums to be distributed next period500,000800,00030,00020,0005,00060,00050,0003,0001. What amount should be reported as premium expense for 2021?2. What amount should be reported as estimated premium liability on December 31, 2021?3. What amount should be reported as premium expense in 2022?4. What amount should be reported as estimated premium liability on December 31, 2022?

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Love company included one coupon in each package sold. A premium is offered to the costumer who send in 10 coupons. 2021 2022 Number of package sold Number of premiums purchased at P40 each Number of premium distributed Number of premiums to be distributed next period 500,000 30,000 20,000 800,000 60,000 50,000 3,000 5,000 1. What amount should be reported as premium expense for 2021? 2. What amount should be reported as estimated premium liability on December 31, 2021? 3. What amount should be reported as premium expense in 2022? 4. What amount should be reported as estimated premium liability on December 31, 2022?

Love company included one coupon in each package sold. A premium is offered to the costumer who send in 10 coupons. 2021 2022 Number of package sold Number of premiums purchased at P40 each Number of premium distributed Number of premiums to be distributed next period 500,000 30,000 20,000 800,000 60,000 50,000 3,000 5,000 1. What amount should be reported as premium expense for 2021? 2. What amount should be reported as estimated premium liability on December 31, 2021? 3. What amount should be reported as premium expense in 2022? 4. What amount should be reported as estimated premium liability on December 31, 2022?

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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A purchase invoice shows 10 items priced at $120 less trade discount 20%. A cash discount of 2½% is allowed if settlement is made within the allowed credit period. How much will be paid if the cash discount applies? A $1,170 B $1,200 C $936 D $960
ABC Company sold 10 units of goods with a unit list price of P2,000 on January 1, 2020. Given that the trade discount is 5% and the cash discount is 10%, and that the cash discount period is 10 days and the credit period is 30 days, if the customer settles the debt on January 11, 2020, what is the actual payments he needs to pay
please all parts Find the following accumulated values on December 31, 2020 a) $6000 invested on May 1, 2020 at 3.6% interest. b) $20,000 invested on January 1, 2018 if &t = 0.025 + 0.02t. (c) $15,000 invested at ireal=3.25% on January 1, 2020 if inflation in 2020 is 1.75% d) Payments of $5,000 made every December 31 from 2014 to 2020 at 5% interest.
Sheffield Corp. includes one coupon in each bag of dog food it sells. In return for eight coupons, customers receive a leash. The leashes cost Sheffield $5 each. Sheffield estimates that 40 percent of the coupons will be redeemed. Data for 2020 and 2021 are as follows: 2020 2021 Bags of dog food sold 520000 620000 Leashes purchased 19000 21000 Coupons redeemed 130000 130000 The premium liability at December 31, 2020 is O S73750. O $48750. O $63750. O $85750.
A supplier offers the following discounts: Trade discounts of 20% at list price and another cash of 3% if paid in full before the due date. The net amount paid by the customer within the discount period is 14,550. How much is the list price? Select the correct response: O 15,200 14,400 18,750 16,000
Question 1 Today is 22th March 2020. Jane just purchased a 180-day $100,000 bank bill at a simple interest rate. The purchase price is $98,500. She sold this bank bill on 24th May 2020 at 3.98% p.a. simple interest rate. a) What is the implied per annual simple interest rate for her purchasing (expressed as a percentage and rounded to three decimal places)? Select one: a. 0.076 b. 0.032 c. 0.031 d. 0.088 Question 2 Today is 22th March 2020. Jane just purchased a 180-day $100,000 bank bill at a simple interest rate. The purchase price is $98,500. She sold this bank bill on 24th May 2020 at 3.98% p.a. simple interest rate. b) What is her selling price (rounded to four decimal places)? Select one: a. 98740.2903 b. 98634.0935 c. 98846.7161 d. 99317.7280 Question 3 Today is 22th March 2020. Jane just purchased a 180-day $100,000 bank bill at a simple interest rate. The purchase price is $98,500. She sold this bank bill on 24th May 2020 at 3.98% p.a. simple interest…
Compute for the bank's income if a client will purchase USD375,000 @ P50.76 = $1 based on P50.30 benchmark or based rate. a. P172,500 b. P17,500 c. P1,725 d. P17,250
A purchase invoice shows 10 items priced at $120 less trade discount 20%. A cash discount of 2%2% is allowed if settlement is made within the allowed credit period. How much will be paid if the cash discount applies? A $1,170 B $1,200 C $936 D $960
D. An entity placed a coupon redeemable for a premium in each package of cereal sold. Each premium cost P20 and five coupons must be presented by a customer to receive a premium. The entity estimated that only 60% of the coupons issued would be redeemable. For the year ended December 31, 2021, the following information is available: Packages of cereal sold 160,000 Premium purchased 12,000 Coupons redeemed 40,000 5. What is the premium expense for 2021? 6. What is the estimated premium liability on December 31, 2021?
List Price: P100,000 Trade Discount: 20%, 10% What is the Invoice Price?
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