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e. is characterized by a legal distinction between the business as an economic unit and the owner.
4. Ture or False
Advance payments from customers will be immediately recognized as revenue under cash basis accounting but not under accrual basis accounting.
The supplies account on June 1 had a credit balance of $5,200, additional supplies were purchased on June 10 for $2,500 and June 23 for $1,400. The supplies on hand at June 30 were $3,000. The amount to be used for the appropriate adjusting entry is
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