Making a prepayment for insurance will have the effect of select one:  a) Increasing expenses and decreasing net profit b) decreasing expenses and increasing gross profit  c) Increasing expenses and decreasing gross profit  d) Decreasing expenses and increasing net profit

Q: Group of answer choices a. type of care

A: Grooming/personal hygiene, clothing, toileting/continence, transferring/ambulating, and eating are…

Q: How do insurance company makes money?

A: The insurance company is referred to as that company whose predominant and primary business is…

Q: Give an example of pre-paid expenses and show the impact on the balance sheet?

A: The balance sheet is the important financial statement of the business. It tells about the financial…

Q: It pertains to a risk management technique when acquiring a life insurance. * risk avoidance risk…

A: One of the risk management technique is Risk Transfer where one party transfer the risk to another.…

Q: Briefly explain the difference between an insurance and an assurancepolicy?

A: Insurance policy and Assurance policy are two different policies.  Insurance policy provides…

Q: The type of account and normal balance of prepaid insurance would be

A: An asset is a resource controlled by an entity from which future economic benefits flow to the…

Q: Payment must be probable in order for a compensated absence to be accrued. True False

A: The term "probable" is pivotal in the context of accruing liabilities, especially concerning…

Q: Describe the Comprehensive General Liability Insurance?

A: Answer: Comprehensive general liability insurance is an old concept for general liability insurance,…

Q: Define insurance expense.

A: Expense: It refers to the cost incurred by a business to generate revenues in their business…

Q: Insurance coverage has been shown to diminish the importance of time in the decision about how much…

A: Insurance coverage seems to be the degree of risk or responsibility that would be addressed by…

Q: The adjusting entry to record a contingent liability requires a debit to a loss (or expense) account…

A: Contingent liability is a potential liability that arises as a result of past transactions but the…

Q: How is the account Prepaid Insurance classified and on which financial statement should it be…

A: Prepaid insurance is the portion of an insurance premium that has been paid in advance and has not…

Q: Define the term prepaid insurance.

A: Prepaid expenses: Advance payment for future expenses is called as prepaid expenses. These prepaid…

Q: Do you believe the accuracy of the prepaid accounting balance can be determined by examining, the…

A: To determine the accuracy of the prepaid accounting balance, one needs to examine various factors…

Q: scuss insurance costs and unreimbursed losses

A: Defining and discussing  the terms, Insurance Cost and unreimbursed losses, both the terms are used…

Q: Compare life cover and funeral cover, stating the advantages and disadvantages of each

A: Life cover acts as a safeguarding financial tool, delivering a lump sum to beneficiaries upon the…

Q: What other steps should be taken to make sure that the remaining balance in the prepaid account for…

A: Prepaid expenses are expenses that have been paid in advance but have not yet been incurred or…

Q: O Liability Insurance Expense.

A: Sud account is smaller account under a larger account . It is uesful to track different activites…

Q: When creating an Income Statement and calculating Net Patient Service Revenue, which of the accounts…

A: Net patient service revenue is the entire money earned by a healthcare organization from delivering…

Q: How is the account Prepaid Insurance classified and on which financial statement should it be…

A: Financial statements: Financial statements are condensed summary of transactions communicated in the…

Classification Of Risk

Risk means when there could be a possibility that the returns expected from a particular project or investment may or may not match the investor's expectations. In other words, the uncertainty of an income arising from a source that would either be lower than expected or result in losses in risk exposure of the project. The higher the risk involved, the higher is the return expected by the investor as the investor is exposed to a high level of risk. There are various methods by which different types of risk can be assessed and avoided or mitigated.