I should not record _____ on an income and expense statement for the period from January 1 to June 30.
A) an $800 refrigerator bought on credit on May 30
B) a paid March telephone bill
C) health insurance premiums deducted from monthly pay checks
D) checking account service charges
E) groceries bought and paid for in June

Question

Quizplus · Accepted Answer

The refrigerator bought on credit should not be recorded as an expense until it is paid for, as the income and expense statement reflects actual cash flow during the period.

I Should Not Record _____ on an Income and Expense