Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Question 1: Following is Trail Balance of Long life Assurance Company as on 31 March 2019 Debit Credit Amount Ro in 000 3000 Amount RO

image text in transcribed
Question 1: Following is Trail Balance of Long life Assurance Company as on 31" March 2019 Debit Credit Amount Ro in 000 3000 Amount RO in 000 $50,000 Life Assurance Fund opening balance Income tax paid on interest, dividends, and rents Income tax paid Claims 2500 200,000 IN SOO Premium less reinsurance Outstanding claims at the beginning Consideration for Annuities Registration fees Interest, dividends and rents General reserves 10,000 500 25,000 20,000 Provision for taxation Share Capital 5,000 3000 By death 25.000 By maturity 17.000 Property al cost $7.000 Furniture and Equipment 4,000 at cost Annuities 15.000 Stationery 800 Cash at bank 39.600 Cash in hand 400 Surrender value SOO Commission 8000 Expenses of management 40000 Other assets 1200 Loans on policies 35000 Investments 580.000 Government securities 3000 832.000 832.000 Prepare Revenue Account and Balance Sheet after taking into account the following: (a) Claims less reinsurance outstanding at the end of year are 5,000 by death and RO 3,000 by maturity (b) Depreciation to be provided RO 1,000 on property and RO 160 on Furniture and equipment (c) Outstanding tax payable RO 2,000 (d) Expenses RO 3,000 are prepaid and annuities outstanding is RO 1,000 (e) Premiums outstanding RO 25,000 (1) Accrued interest , dividend and rent are RO 2500 Question 1: Following is Trail Balance of Long life Assurance Company as on 31" March 2019 Debit Credit Amount Ro in 000 3000 Amount RO in 000 $50,000 Life Assurance Fund opening balance Income tax paid on interest, dividends, and rents Income tax paid Claims 2500 200,000 IN SOO Premium less reinsurance Outstanding claims at the beginning Consideration for Annuities Registration fees Interest, dividends and rents General reserves 10,000 500 25,000 20,000 Provision for taxation Share Capital 5,000 3000 By death 25.000 By maturity 17.000 Property al cost $7.000 Furniture and Equipment 4,000 at cost Annuities 15.000 Stationery 800 Cash at bank 39.600 Cash in hand 400 Surrender value SOO Commission 8000 Expenses of management 40000 Other assets 1200 Loans on policies 35000 Investments 580.000 Government securities 3000 832.000 832.000 Prepare Revenue Account and Balance Sheet after taking into account the following: (a) Claims less reinsurance outstanding at the end of year are 5,000 by death and RO 3,000 by maturity (b) Depreciation to be provided RO 1,000 on property and RO 160 on Furniture and equipment (c) Outstanding tax payable RO 2,000 (d) Expenses RO 3,000 are prepaid and annuities outstanding is RO 1,000 (e) Premiums outstanding RO 25,000 (1) Accrued interest , dividend and rent are RO 2500

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Operational Review Maximum Results At Efficient Costs

Authors: Rob Reider

3rd Edition

0471228109, 978-0471228103

More Books

Students also viewed these Accounting questions