Fay Company had the following transactions during the quarter ended March 31, 2020. Loss from typhoon - P350,000 Payment of fire insurance premium for calendar year XXXXXXXXXX,000. What amount should...

Fay Company had the following transactions during the quarter ended
March 31, 2020. Loss from typhoon - P350,000 Payment of fire insurance
premium for calendar year 2020 - 50,000. What amount should be
included in the income statement for the quarter ended March 31, 2020?

A. Casualty loss - P350,000 Insurance expense - P50,000
B. Casualty loss - P350,000 Insurance expense - P12,500
C. Casualty loss - P 87,500 Insurance expense - P12,500
D. Casualty loss - P 0 Insurance expense - P50,000