On January 15, 2017, Truro Corp.paid $240,000 in property taxes on its factory building for the calendar year 2017.In the first week of April 2017, the corporation made unanticipated repairs to its plant equipment at a cost of $600,000.These repairs will benefit operations for the remainder of 2017 only.How should these expenses be reflected in Truro's quarterly income statements?

Question

Quizplus · Accepted Answer

The Answer of On January 15, 2017, Truro Corp.paid $240,000 in property taxes on its factory building for the calendar year 2017.In the first week of April 2017, the corporation made unanticipated repairs to its plant equipment at a cost of $600,000.These repairs will benefit operations for the remainder of 2017 only.How should these expenses be reflected in Truro's quarterly income statements?