Insurance – Knowsia

FA – L1 – Q38 – Accruals and prepayments

Record adjustments for stationery, rent, rates, insurance, and lighting in ledger accounts for Nyame at 31 Dec 20X9.

Question

The following is an extract from the trial balance of Nyame at 31 December 20X9.

| | Dr | Cr | |

| GH¢(000) | GH¢(000) |

| Stationery | 560 |

| | Rent | 900 | |

| Rates | 380 | |

| Lighting and heating | 590 | |

| Insurance | 260 | |

| Wages and salaries | 2,970 | |

There was stationery still in hand at 31 December 20X9 which had cost GH¢15,000.
Rent of GH¢300,000 for the last three months of 20X9 had not been paid and no entry has been made in the books at all for it.
Of the rates, GH¢280,000 was for the year ended 31 March 20Y0. The remaining GH¢100,000 was for the three months ended 31 March 20X9.
Fuel had been delivered on 18 December 20X9 at a cost of GH¢15,000 and had been consumed before the end of 20X9. No invoice had been received for the GH¢15,000 fuel in 20X9 and no entry has been made in the records of the business.
GH¢70,000 of the insurance paid was in respect of insurance cover for the year 20Y0.
Nothing was owing to employees for wages and salaries at the close of 20X9.
Required:
Record the above information in the relevant accounts for the year ended 31 December 20X9 and close the accounts.

Answer

Find Related Questions by Tags, levels, etc.

Tags: Accruals, Adjustments, Financial Statements, Insurance, Ledger accounts, lighting and heating, Prepayments, rates, rent, stationery, Trial Balance
Level: Level 1

Topic: Accruals and prepayments

FA – L1 – Q37 – Accruals and prepayments

Write up the insurance account for Vulcan's removal business for 20X9, including prepayments and multiple insurance payments.

Question

Vulcan owns a removal business and runs a small fleet of vans. He prepares his accounts to 31 December each year.
The following transactions occur in relation to insurance for the year 20X9.
1 January: The amount prepaid for insurance was GH¢1,140,000.
1 April: He paid GH¢840,000 insurance for the year ended 31 March 20Y0 on six of the vans.
1 May: He paid GH¢3,540,000 insurance for twenty vans for the year ended 30 April 20Y0.
1 July: He paid GH¢560,000 insurance for the remaining vans for the year ended 30 June 20Y0.

Required:
Write up the insurance account for the year ended 31 December 20X9.

Answer

Find Related Questions by Tags, levels, etc.

Tags: Accruals, Bookkeeping, Financial accounting, Insurance, Ledger accounts, Non-current Assets, Prepayments, Statement of Financial Position, Trial Balance, Year-end adjustments
Level: Level 1

Topic: Accruals and prepayments

MA – L2 – Q5 – Decision Making Techniques

List value chain activities, explain their strategic importance, and identify primary activities for a publisher and an insurance company.

Question

5 VALUE CHAIN

(a) List the primary activities and secondary activities in a value chain.

(b) Explain the significance of the value chain for business strategy.

(d) Identify the primary activities in the value chain for a company selling insurance policies (such as car insurance) by telephone.

Answer

Find Related Questions by Tags, levels, etc.

Tags: Business Strategy, Insurance, Primary Activities, Publishing, Secondary Activities, Value Chain
Level: Level 2

Topic: Decision making techniques

Tag (SQ): Insurance

Filter by Professional Bodies

Filter by Subject

Filter by Topics

Filter by Levels

FA – L1 – Q38 – Accruals and prepayments

Record adjustments for stationery, rent, rates, insurance, and lighting in ledger accounts for Nyame at 31 Dec 20X9.

FA – L1 – Q37 – Accruals and prepayments

Write up the insurance account for Vulcan's removal business for 20X9, including prepayments and multiple insurance payments.

MA – L2 – Q5 – Decision Making Techniques

List value chain activities, explain their strategic importance, and identify primary activities for a publisher and an insurance company.

Our offerings

Community

Contact Info

Customer

Get In Touch

Tag (SQ): Insurance

Filter by Professional Bodies

Filter by Subject

Filter by Topics

Filter by Levels

FA – L1 – Q38 – Accruals and prepayments

Record adjustments for stationery, rent, rates, insurance, and lighting in ledger accounts for Nyame at 31 Dec 20X9.

You're reporting an error for "FA – L1 – Q38 – Accruals and prepayments"

FA – L1 – Q37 – Accruals and prepayments

Write up the insurance account for Vulcan's removal business for 20X9, including prepayments and multiple insurance payments.

You're reporting an error for "FA – L1 – Q37 – Accruals and prepayments"

MA – L2 – Q5 – Decision Making Techniques

List value chain activities, explain their strategic importance, and identify primary activities for a publisher and an insurance company.

You're reporting an error for "MA – L2 – Q5 – Decision Making Techniques"

Our offerings

Community

Contact Info

Customer

Get In Touch

admin

Pick a Form