would result in unchanged income under both the accrual and the cash basis.
A) The expiration of prepaid rent
B) The payment of two months of rent in advance
C) Recognition of the current period's depreciation
D) None of these answers is correct.

Question

Quizplus · Accepted Answer

Recognition of the current period's depreciation is an expense that does not involve cash flow and would result in unchanged income under both the accrual and the cash basis.

Would Result in Unchanged Income Under Both the Accrual and the Cash