Give the journal entry to correct scranton''s books , Accounting Basics

On 11/1/05 the Scranton Electric Company issued a check in the amount of $36,000 to the Fly By Night Insurance Company. The amount represented the total premiums on a liability insurance policy for the next three years. The entire $36,000 was recorded as an expense by Scranton when the payment was made. When Scranton's fiscal; year ended on 12/31/05, no additional entries had been made regarding the insurance payment. Explain why Scranton's books are incorrect as of 12/31/05 and give the journal entry to correct Scranton's books at that date.

Posted Date: 3/14/2013 6:28:13 AM | Location : United States







Related Discussions:- Give the journal entry to correct scranton''s books , Assignment Help, Ask Question on Give the journal entry to correct scranton''s books , Get Answer, Expert's Help, Give the journal entry to correct scranton''s books Discussions

Write discussion on Give the journal entry to correct scranton''s books
Your posts are moderated
Related Questions
Goodwill is an intangible asset of a organization which contains company reputation, fame etc., By goodwill company share value may enhances

Determining the physical quantity that should be contained in inventory normally is a simple matter because that amount have of items in the possession of the company. The cost of

#quthe books of deven verma could not be tallied.the accountant transferred the difference of Rs.1270 in the suspense account on the debit side the following mistakes were found la

Cargin Company uses the FIFO method in its process costing system. The Assembly Department started the month with 15,000 units in its beginning work in process inventory that were

Q. Explain about statement of cash flows? Retained earnings usually consist of the accumulated net income of the corporation minus dividends distributed to stockholders. We exa

There is almost not, any organization that does not have an accountant. His task is all pervasive and he is included in a broad range of activities, particularly in a huge and comp

is money deposited to the municipality for electricity current assets

Q. Illustrate lower-of-cost-or-market method? Procter & Gamble markets a broad range of paper, cleaning, beauty care, health care, food, laundry and beverage products around th

Q. Income taxes payable? Taxes withheld from employees comprise federal income taxes, state income taxes and social security taxes withheld from employees' pay checks. The comp

I need help understanding my Accounting 205 class. Would some one please help me understand what I am having such a hard time comprehending.