As an asset-survivorship policy, Financial Accounting

As an asset

The argument for this statement is that the survivorship policy is an investment because eventually the partnership will receive either the surrender value or the sum assured an thus the premium should not be expensed but carried as an asset.

Relevant entries


    DR.    Life policy  asset account
        CR.    Cash book

Posted Date: 12/11/2012 6:29:01 AM | Location : United States







Related Discussions:- As an asset-survivorship policy, Assignment Help, Ask Question on As an asset-survivorship policy, Get Answer, Expert's Help, As an asset-survivorship policy Discussions

Write discussion on As an asset-survivorship policy
Your posts are moderated
Related Questions
A company is considering the purchase of new equipment for $45,000. The projected after-tax net income is $3,000 after deducting $15,000 of depreciation. The machine has a useful l

Q. What is Staff Benefit Fund? This is a fund intended to afford certain kinds of amenities and benefits to no gazetted staff as well as to gazetted officers of the Railway ove

A company has the following forecast demand for the next five months: 1,600, 2,400, 3,200, 2,800, and 2,400. The following information is also available.                  curren

a) Your company is planning to take $1,750,000 on a 3-year, 10%, annual payment, fully amortized term loan. What fraction of the payment made at the end of the second year will sho

Accounting objectives Accounting has two main objectives: To assist control over the assets and liabilities, and the income and expenditure of the enterprise; and To

1. According to the notes to the financial statements, what method or methods does the company use to depreciate "plant and equipment?" What rate does it use to depreciate plant an

assignment ofr p V RATIO ANALYSIS

Your mother-in-law is fretting about paying her mortgage. She refinanced her mortgage loan a while back, and now is thinking about refinancing again. You are going to help her eval

Content of accounts Periodical accounts should normally consist of:         1.    Balance sheet of the whole trust;         2.    Capital account;         3.    Income account

Jane makes a living renting expensive state of the art surveillance equipment to detectives and nervous spouses. Her average rental period is 27 days. The rental price includes all