nder Bart Company's accounting system, all insurance premiums paid are debited to prepaid insurance. For interim reports, Bart makes monthly estimated charges to insurance expense with credits to prepaid insurance. Additional information for the year ended December 20X2 is as follows:

Prepaid insurance at December 31, 20X1 $310,000

Charges to insurance expense during 20X2,

including a year-end adjustment of $50,000 975,000

Unexpired insurance premiums at December 31, 20X2 265,000

Required:

What was the total amount of insurance premiums paid by Bart during 20X2?

*Show the process of the calculation