On May 1, a two-year insurance policy was purchased for $18,000 with coverage to begin immediately. What is the amount of insurance expense that would appear on the company's income statement for the first year ended December 31?

A. $18,000.
B. $6,750.
C. $750.
D. $5,270.
E. $6,000.


Answer: E

Business

You might also like to view...

The classification system most commonly used by biologists today contains five domains.

Answer the following statement true (T) or false (F)

Business

QuickBooks Pro is a good product to use for tracking the inventory of which type of company?

Business

A project manager bases his time and labor estimates on a learning curve of 86%. The actual learning curve turns out to be 89%

The manager, because of the decreased learning, will complete his project in more time and with more labor use than his estimate suggested. Indicate whether the statement is true or false

Business

A ________ control technique accomplishes standardized behavior and work outputs.

A. clan B. direct supervision C. bureaucratic D. management by objectives E. feedforward

Business