Ominous Studios,in an Effort to Promote the Release of Their

question 96

Essay

Ominous Studios,in an effort to promote the release of their new movie "Dragons from Space," began a national sales promotion campaign.Two coupons from specially marked boxes (one coupon in each box)of "Sweet Pops" cereal are redeemable for one ticket to the show.Tickets cost Ominous $1.50 each.Ominous estimates that 40 percent of the coupons will be redeemed.At the end of 2014,the following information is available:

What is the estimated liability for premium claims outstanding at December 31,2014?

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Definitions:

Non-profit Organization

An entity that operates for the purpose of benefiting society, not for profit maximization. It often enjoys tax-exempt status.

Indian Red Cross Society

A humanitarian organization that works in disaster relief, health care, and blood services in India, part of the international Red Cross and Red Crescent Movement.

Emerging Market

Refers to a country's economy that is in the process of becoming more engaged with global markets, often characterized by rapid growth and volatility.

Foreign Investments

Investments made by individuals, companies, or governments in business interests in a country other than their own, often through direct investments or purchasing stocks.