At December 31, 2019, the advertising expense account of COURAGE Company had a balance of P164,000 before any adjustment relating to the following: Brochures and leaflets for a sales promotional campaign in November 2020 amounting to P15,000 was included in the P164,000 balance. Additionally, January promotional campaign of P12,000 is also included in the balance. Airtime for the radio advertisements to be aired during January 2020 for P19,000 was billed to COURAGE on December 15, 2019. COURAGE paid the half of the amount as down payment on December 18,2019 and recognized the payment as expense.

At December 31, 2019, the advertising expense account of COURAGE Company had a balance of P164,000 before any adjustment relating to the following: Brochures and leaflets for a sales promotional campaign in November 2020 amounting to P15,000 was included in the P164,000 balance. Additionally, January promotional campaign of P12,000 is also included in the balance. Airtime for the radio advertisements to be aired during January 2020 for P19,000 was billed to COURAGE on December 15, 2019. COURAGE paid the half of the amount as down payment on December 18,2019 and recognized the payment as expense.

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter9: Current Liabilities And Contingent Obligations

Section: Chapter Questions

Problem 1MC: The balance in Ashwood Companys accounts payable account at December 31, 2019, was 1,200,000 before...

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