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What is prepaid insurance?

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تم إضافة السؤال من قبل Shameer Nazir Madari , Assistant Finance Manager , METAL AND RECYCLING COMPANY K.S.C. (PUBLIC)
تاريخ النشر: 2016/04/27
subramani subramani poonul
من قبل subramani subramani poonul , Senior medical coder , ALFARHAN MEDICAL CENTER

A current asset which indicates the cost of theinsurance contract (premiums) that have been paid in advance. It represents the amount that has been paid but has not yet expired as of the balance sheet date. A related account is Insurance Expense, which appears on the income statement.

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