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Gene Said:

insurance question, help?

We Answered:

You're saying the same thing, two different ways.

"Content replacement" is NOT standard wording.

There is guaranteed replacement cost on the dwelling, replacement cost on the dwelling, and replacement cost on the contents. Those three things are ALL DIFFERENT.

There are ALSO about eight other ways insurance companies pay for your claims.

Where they buy your stuff . . . I guess THEY pick the colors? So hot pink sheets in your son's room would be ok? Or, some hideous orange print? Or shag carpet? I'd suggest that the insurance company SHE represents, is doing that - but it's NOT industry standard - I've never heard of it before.

Gwendolyn Said:

How much should I expect to pay for car insurance?

We Answered:

Go to one of the price comparison sites such as confused.com or comparethemarket.com and enter your details, that's the only way you will find out. If you're not willing to give your details there is no way to find out the cost.

Katrina Said:

Help with my Adjusting Entries?

We Answered:

a. contents Insurance is paid annually in early January, for the amount of $66,000. The insurance policy covers all the company's machinery from 12.01am on Jan 1. The insurance is recorded as an expense when paid and the financial year ends on April 30. Record the adjusting entry on April 30
Dr Prepaid insurance $44000
Cr Insurance expense $44000

b. Julie Sues and Partners is acting for a client who is involved in a law suit with a former customer. At the end of the financial year, Julie sues and partners calculates an amount of $55,000 in legal fees has been incurred on their client's behalf but not billed yet. Record the adjusting entry for Julie Sues and partners
Dr Unbilled receivables $55000
Cr Legal fee revenue $55000

c. Slim Investments invested $10,000,000 in a term deposit on Feb 15, 2008. Interest is paid after one year and interest rates are 9% per annum. Record the adjusting entry for Slim Investments on June 30, 2008 (no need to count days, just use 1/2 months)
Dr Interest receivable $337500 ($10m x 9% x 4.5/12)
Cr Interest income $337500

d. Mark recorded the $1,350 paid on April 1, 2008 for his new Gym Membership as an asset. that payment allows unlimited use of the Gym for 18 months with no more to pay. Record Mark's adjusting entry if his financial year ended on July 31, 2008. (count months not days)
Dr Gym expense $300 ($1350 x 4/18)
Cr Prepaid Gym fees $300

e. The business has a prepaid phone. They paid $250 for the phone and received $150 of prepaid calls. The purchase of the phone was recorded as an asset. Record the adjusting entry if $60 worth of calls has been made by the end of the financial year
Dr Prepaid phone expenses $90
Dr Phone expenses $60
Cr Phone equipment $150

f. In Jan 2008, Tiru received payment of $65,000 for a number of motivational speeches he was to present later in the year. He recorded these receipts as revenue. By the end of the financial year (June 30 2008), $15,000 of the performances had been completed. Record the adjusting entry for Tiru
Dr Revenue $50000
Cr Unearned revenue $50000

[Can you also do this situation but if Tiru recorded the receipts as an asset - thanks] You mean if Tiru recorded the receipts as a liability.
Dr Unearned revenue $15000
Cr Revenue $15000

g. Pro Investment Bank has accepted investments of $27,000,000 on May 1, 2008. Interest is paid after one year and interest rates are 15% per annum. Record the adjusting entry for Pro Investment Bank on June 30 2008 (count months not days)
Dr Interest expense $675000 ($27m x 15% x 2/12)
Cr Interest payable $675000

Laura Said:

Are you sick of the elderly being ripped off, especially by places that are supposed to help them?

We Answered:

I'm always leery about the service man who offers a big discount for seniors. Or, the ones who advertise that they are a Christian. I look at it this way, give me the same price as the next guy, but make sure it's fair and you provide good service. You don't have to tell me you're a Christian because a Christian shows he's a Christian by the way he acts, not by rubbing it in your face.

I can't understand how some elderly people can be so gullible. If they are senile or unable to make intelligent decisions, another family member should be assigned to oversee all work needed.

I do think it's horrible that people take advantage of others and we should all be aware of the possibility of a scam.