• The Hamrick Company owns several pieces of real estate and holds insurance policies to cover them against harm. The company recognized insurance expense of $51,000 on its current income statement. In addition, the company had a Prepaid Insurance account on several of these policies with the reported value dropping by $5,000 during the period. Finally, an Insurance Payable reported on the balance sheet has a reported value that rose from $35,000 at the beginning of the period to $42,000 by year's end. How much cash did Hamrick pay this year on its various insurance policies?
  • $39,000
  • $50,000
  • $52,000
  • $63,000