Davis Company has a December 31 year end. The company received its property tax bill for 2017 on March 1, 2017. According to the bill, taxes of $24,000 for the year ended December 31, 2017 are due by April 30, 2017. On April 30, 2017, Davis will record which of the following entries?
A) Dr. Cash; Cr. Property Tax Payable
B) Dr. Property Tax Payable; Dr. Prepaid Property Tax; Cr. Cash
C) Dr. Property Tax Expense; Cr. Property Tax Payable
D) Dr. Property Tax Expense; Cr. Cash
Correct Answer:
Verified
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