Accounting 9706 · AS & A Level · The accounting system

The accounting system — practice question

A company pays rates once a year in advance on 1 April each year. $4000 is paid on 1 April 2014 and $4800 on 1 April 2015. The company's accounting year end is 31 December. What is the rates expense for the 2015 income statement?

  • A$4000
  • B$4200
  • C$4600
  • D$4800

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