Krypton Foods distributes coupons to consumers which may be presented, on or before a stated expiry date, to grocery stores for discounts on certain Krypton products. The stores are reimbursed when they send the coupons in to Krypton. In Krypton's experience, only about 50% of these coupons are redeemed. During 2020, Krypton issued two separate series of coupons as follows:

Kryptons only journal entries for 2020 recorded debits to Premium Expense, and credits to Cash of $268,000. Their December 31, 2020 statement of financial position should include a Estimated Liability for Premiums of

A		$30,000.
B		$0.
C		$180,000.
D		$62,000.

Issued On Jan 1/20 Jul 1/20 Total Value $250,000 360,000 Coupon Expiry Date Jun 30/20 Dec 31/20 Amounts Reimbursed as of Dec 31/20 $118,000 150,000