We are converting to online quickbooks, want to have the

Question : We are converting to online quickbooks, want to have the most minimal Chart of Accounts. My question: Why should INSURANCE a yearly expense paid quarterly, NOT be expensed in the same account as the phone bill?
<br /><br />
Answer : Hello, my name is Fred and I can assist you. So the difference is the phone bill is paid monthly, while the insurance bill is usually paid up front, but the period of service extends usually for a year. Therefore the expense should be spread over the year. Example, let’s say you have an insurance policy for $12,000, paid in full in January, and the policy term is January to December. In January, you would show prepaid insurance of $11,000 and expense of $1,000. In February, your prepaid would be $10,000 and your expense would be $1,000. Please let me know if you have any follow up questions on this. Thanks!

I lOVE this Professional essay writing website. This is perhaps the fifth time I am placing an order with them, and they have not failed me not once! My previous essays and research papers were of excellent quality, as always. With this essay writing website, you can order essays, coursework, projects, discussion, article critique, case study, term papers, research papers, research proposal, capstone project, reaction paper, movie review, speech/presentation, book report/review, annotated bibliography, and more.

Post your homework questions and get original answers from qualified tutors!

PLACE YOUR ORDER