On October 1, 2021, FDN Company paid an insurance premium covering the period from October 1, 2021 to October 1, 2022 in the amount of P24,000. The accounting period ends on December 31, 2021. How much is the Prepaid Insurance Expense reported on the Statement of Financial Position as of December 31, 2021?

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
Chapter6: Cash And Receivables
Section: Chapter Questions
Problem 6MC: Prior to adjustments, Barrett Companys account balances at December 31, 2019, for Accounts...
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On October 1, 2021, FDN Company paid an insurance premium covering the period
from October 1, 2021 to October 1, 2022 in the amount of P24,000. The accounting
period ends on December 31, 2021. How much is the Prepaid Insurance Expense
reported on the Statement of Financial Position as of December 31, 2021?
Transcribed Image Text:On October 1, 2021, FDN Company paid an insurance premium covering the period from October 1, 2021 to October 1, 2022 in the amount of P24,000. The accounting period ends on December 31, 2021. How much is the Prepaid Insurance Expense reported on the Statement of Financial Position as of December 31, 2021?
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