City Wok Inc. paid $ 5,600 for property taxes in the 2020 calendar year. In 2021, City Wok Inc. receives its property tax bill on May 1 for $ 6,200 which is payable on June 30, 2021.
Instructions
Calculate the prepaid or property taxes payable that City Wok Inc. will report on its balance sheet if City Wok Inc.'s year end is
a) February 28, 2021
b) May 31, 2021
c) September 30, 2021
d) December 31, 2021

Question

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The Answer of City Wok Inc. paid $ 5,600 for property taxes in the 2020 calendar year. In 2021, City Wok Inc. receives its property tax bill on May 1 for $ 6,200 which is payable on June 30, 2021.
Instructions
Calculate the prepaid or property taxes payable that City Wok Inc. will report on its balance sheet if City Wok Inc.'s year end is
a) February 28, 2021
b) May 31, 2021
c) September 30, 2021
d) December 31, 2021