Question 4 Not yet answered Marked out of 10.0 Flag question D2 (a) According to the Motor insurance LLC the details of premium for the year ended 31/12/2015 as given below. Calculate the amount of premium to be entered in the revenue account and give the respective journal entries also. (2marks) Particulars OMR Premium received during 85,000 the year Commission received 87,000 Outstanding premium on 25,000 31/12/15 Reinsurance premium 28,000 received Premium received in 12,000 premium to be entered in the revenue account and give the respective journal entries also. (2marks) Particulars OMR 85,000 Premium received during the year Commission received Outstanding premium on 31/12/15 87,000 25,000 28,000 12,000 Reinsurance premium received Premium received in advance 31/12/15 Re-insurance premium paid for 2015 16,000 7,000 Bonus in reduction of premium (b) From the following information prepare profit and loss account of Bushra bank Ilc, for the year ended 31/12/2018 (8 marks) Particulars OMR 42,000 Profit on sale of investments Interest on fixed deposits 550,000 Interest on loans 518,000 16,000 Commission Salary to employees Discount on bills 8,000 292,000 Interest on cash credit 446,000 84,000 Interest paid on current accounts Rent taxes and lighting Interest on overdraft 36,000 308,000 Directors fees 6,000 Auditors fees 4,000 Interest on saving deposits 136,000 Discount on bills 292,000 Interest on cash credit 446,000 Interest paid on current 84,000 accounts Rent taxes and lighting 36,000 Interest on overdraft 308,000 Directors fees 6,000 Auditors fees 4,000 Interest on saving deposits 136,000 Postage and telegram 3,000 Printing and stationery 6,000 Sundry charges 3,000 Interest on investments 16,000 Loss on sale of investments 22,000 Rebate on bills discounted 98,000 at the year end Debts to be written off amount to OMR 60,000 and provision for tax to be made to 50%