Answer:
$3,500
Explanation:
The quarterly insurance expense to report for the period ending June 30 2010 comprises of two months payment from the first payment and one month portion of the second payment as computed thus:
Insurance for April to May=$6,000*2/5=$2400
Insurance for June=$7,700*1/7=$1100
insurance expense for June=$2,400+$1,100=$3,500
Note that the first payment covers first 5 months while the second one covers the last 7 months
