Which of the following is TRUE about the treatment of insurance premium paid in advance

A Current asset
B Current liability
C Short term liability
D Fixed asset

Correct Answer: Current asset

Current asset is TRUE about the treatment of insurance premium paid in advance. Current assets represent all the assets of a company that are expected to be conveniently sold, consumed, utilized or exhausted through the standard business operations, which can lead to their conversion to a cash value over the next one year period.
Bissoy MCQ
#Commerce #Accounting

Related Questions

Three workers X, Y and Z, are paid a total of Tk.5,500 for particular jobs. X paid 133.33% of the amount paid to Y and Y is paid 75% amount paid to Z.How much is paid to Z?
A 1780
B 1890
C 1975
D 2000
According to a survey of business firms in a certain city, 750 firms offer their employees health insurance , 640 offer dental insurance and 280 offer health insurance and dental insurance. How many firms offer their employees health insurance or dental
A 920
B 1,100
C 1,110
D 1,030
Arafat and Asif were each paid X taka in advance to do a certain job together. Arafat worked on he job for 10 hours and Asif worked 2 hours less than Arafat. If Asif gave Arafat Y taka of his payment so that they would have received the same hourly wage, what was the amount in taka, in terms of Y, that Arafat was paid in advance?
A 5Y
B 6Y
C 8Y
D 9Y
Rahim, Karim and James paid a total TK. 45 for their dinner at a restaurant . If Rahim paid of the total amount, Karim paid TK. 17 and James paid the rest then what fraction of the total amount did James pay ?
A 2
B 14
C 1
D 7
Rakib, Raja and Rajib paid a total of 369 taka for their dinner at a restaurant , If Rakib paid 2/3 of the total amount, Raja paid 82 taka and Rajib paid the rest,what fraction of the total amount did Rajib pay?
A 1/9
B 1/3
C 39/82
D 82/369
A worker is hired for 7 days. Each day, he is paid 10 Taka more than what he is paid for the previous day of work. The total amount he was paid in the first 4 days of work equaled the total amount he was paid in the last 3 days. What was his starting pay?
A 90
B 138
C 153
D 160
A worker is hired for 7 days, Each day, he is paid 10 taka more then what he is paid for the previous day of work. The total amount he was paid in the first 4 days of work equaled the total amount he was paid in the last 3 days. What was his starting pay?
A 90
B 138
C 153
D 160
Two tailors X and Y are paid a total of TK. 550 per week by their employer. If X is paid 120 percent of the amount paid to Y, how much is Y paid per week?
A TK. 250
B TK. 275
C TK. 280
D TK. 300
Two tailors X and Y are paid a total of Tk. 550 per week by their employer . If X is paid 120 percent of the sum paid to Y, how much is Y paid per Week?
A Tk. 200
B Tk. 250
C TK. 300
D TK. 400
A worker was hired for 7 days. Each day, he was paid Tk. 10 more than what he was paid for the previous day of work. The total amount he was paid in the first 4 days of work equaled the total amount he was paid in the last 3 days. What was his starting pay?
A Tk.90
B Tk.138
C Tk 150
D Tk. 160

Next steps