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41 Page You are provided with additional information about the company which has not been adjusted by the previous accountant. Claims have been recorded in

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41 Page You are provided with additional information about the company which has not been adjusted by the previous accountant. Claims have been recorded in ledger accounts but outstanding claims at the end of the period 31st December 2019 have not been included which amounts to OMR 40,000; and outstanding premium expenses were OMR 15,000. The company provided additional depreciation on machinery and vehicles amounting to OMR 7,500. Interest received in advance is OMR 15,000. Lastly, it was observed that miscellaneous expenses paid in advance were OMR 7,500. You are required to prepare: a) Revenue account for National Life & General Insurance company and determine the dosing Life Assurance balance at the end of the year (5 Marks) b) Prepare Balance Sheet as on 31st December 2019 after making all the year-end adjustments. (3 Marks) c) National Life & General Insurance Company wants to offer house insurance services in Quriyat where we have received 1800 policies for house insurance. It is expected that, on average, 10% of the houses may meet with an accident in a year. The economic value of the loss suffered by the owner of each house is taken to be RO.50,000. Calculate the premium to be charged for insurance to the house owner. (2 Marks) 5 Page 41 Page You are provided with additional information about the company which has not been adjusted by the previous accountant. Claims have been recorded in ledger accounts but outstanding claims at the end of the period 31st December 2019 have not been included which amounts to OMR 40,000; and outstanding premium expenses were OMR 15,000. The company provided additional depreciation on machinery and vehicles amounting to OMR 7,500. Interest received in advance is OMR 15,000. Lastly, it was observed that miscellaneous expenses paid in advance were OMR 7,500. You are required to prepare: a) Revenue account for National Life & General Insurance company and determine the dosing Life Assurance balance at the end of the year (5 Marks) b) Prepare Balance Sheet as on 31st December 2019 after making all the year-end adjustments. (3 Marks) c) National Life & General Insurance Company wants to offer house insurance services in Quriyat where we have received 1800 policies for house insurance. It is expected that, on average, 10% of the houses may meet with an accident in a year. The economic value of the loss suffered by the owner of each house is taken to be RO.50,000. Calculate the premium to be charged for insurance to the house owner. (2 Marks) 5 Page

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