In which of the following situations would the largest amount be recorded as an expense of the current year? (Assume accrual basis accounting.)
A) $4,000 is paid in January for equipment with a useful life of four years.
B) $1,800 is paid in January for a two-year fire insurance policy.
C) $10,000 cash is withdrawn by the owner for personal use.
D) $900 is paid to an attorney for legal services rendered during the current year.

Question

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The Answer of In which of the following situations would the largest amount be recorded as an expense of the current year? (Assume accrual basis accounting.)
A) $4,000 is paid in January for equipment with a useful life of four years.
B) $1,800 is paid in January for a two-year fire insurance policy.
C) $10,000 cash is withdrawn by the owner for personal use.
D) $900 is paid to an attorney for legal services rendered during the current year.

In Which of the Following Situations Would the Largest Amount