HANGANG Park has life insurance policies on its officers’ lives. Annual premiums amount to P50,000. At the end of 2020, cash surrender value of the policies totaled P182,000. Dividends received by HANGANG from the insurance company amounted to P5,000 in 2020. The insurance expense recognized by HANGANG Park in 2020 was P35,000. What was the amount of cash surrender value of these policies on January 1, 2020? a. P172,000 b. P162,000 c. P142,000 d. P102,000

HANGANG Park has life insurance policies on its officers’ lives. Annual premiums amount to P50,000. At the end of 2020, cash surrender value of the policies totaled P182,000. Dividends received by HANGANG from the insurance company amounted to P5,000 in 2020. The insurance expense recognized by HANGANG Park in 2020 was P35,000. What was the amount of cash surrender value of these policies on January 1, 2020? a. P172,000 b. P162,000 c. P142,000 d. P102,000

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter13: Long-term Liabilities

Section: Chapter Questions

Problem 1PA: On January 1, 2018, King Inc. borrowed $150,000 and signed a 5-year, note payable with a 10%...

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