or December 2017 $2,000 Water for December $650 Audit fees for the year 2017 $5,500 On March 13 2018, it has paid the above expenses in full, however audit fees actually paid were $5,000 since the auditors decided to give a discount to t
or December 2017 $2,000 Water for December $650 Audit fees for the year 2017 $5,500 On March 13 2018, it has paid the above expenses in full, however audit fees actually paid were $5,000 since the auditors decided to give a discount to t
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
On January 13, 2018 Astra Ltd. is preparing to close its financial statements for the year 2017. At that date is has calculated the following accruals for 2017:
Electricity for December 2017 $2,000
Water for December $650
Audit fees for the year 2017 $5,500
On March 13 2018, it has paid the above expenses in full, however audit fees actually paid were $5,000 since the auditors decided to give a discount to the company.
Required:
Prepare the
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