11) Gayle Company a division of Charis Realty Inc., maintains escrow account and pays real estate...

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11) Gayle Company a division of Charis Realty Inc., maintains escrow account and pays real estate taxes for Charis mortgage customers. Escrow funds are kept in interest-bearing accounts. Interest, less a 10% service fee, is credited to the mortgagee's account and used to reduce future escrow payments. Additional information follows: Escrow accounts liability, January 1, 2019 Escrow payments received during 2019 Real estate taxes paid during 2019 Interest on escrow funds during 2019 P 700,000 1,580,000 1,720,000 50,000 What amount should Gayle report as escrow accounts liability in its December 31, 2019 balance sheet? C. 515,000 D. 510,000 A. 610,000 B. 605,000 11) Gayle Company a division of Charis Realty Inc., maintains escrow account and pays real estate taxes for Charis mortgage customers. Escrow funds are kept in interest-bearing accounts. Interest, less a 10% service fee, is credited to the mortgagee's account and used to reduce future escrow payments. Additional information follows: Escrow accounts liability, January 1, 2019 Escrow payments received during 2019 Real estate taxes paid during 2019 Interest on escrow funds during 2019 P 700,000 1,580,000 1,720,000 50,000 What amount should Gayle report as escrow accounts liability in its December 31, 2019 balance sheet? C. 515,000 D. 510,000 A. 610,000 B. 605,000

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Calculation of Gayle escH Ow accounts Gability in December 31 2019 P... View the full answer