During 2017,Toxic Release LLC Paid a Total of $64,000 in Cash

question 26

Multiple Choice

During 2017,Toxic Release LLC paid a total of $64,000 in cash for insurance.Toxic Release's Prepaid Insurance account had a balance on January 1,2017,of $8,000 and a balance on December 31,2017,of $5,500.The amount of Insurance Expense to be reported on Toxic Release's income statement for the year ended December 31,2017,is:

• A) $58,500
• B) $66,500
• C) $64,000
• D) $61,500

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Definitions:

Ribosomes

Cellular structures that facilitate the translation of mRNA into proteins by linking amino acids together.

Ricin

A highly toxic protein derived from the seeds of the castor oil plant, Ricinus communis, used historically in bioterrorism and research.

DNA Template

A strand of DNA that serves as a guide for the synthesis of complementary RNA molecules during transcription.

Transcription

The process by which the information in a strand of DNA is copied into a new molecule of messenger RNA (mRNA).