On the last day of the fiscal year, a co-worker asks you to cut a check for $2,000 as a miscellaneous expense for suppli
Posted: Mon May 30, 2022 7:07 am
On the last day of the fiscal year, a co-worker asks you to cut
a check for $2,000 as a miscellaneous expense for supplies in order
to complete a project for a VIP customer today. You notice the
invoice looks a little different from other invoices that are
usually processed. You know that by preparing the closing entries
tomorrow, the miscellaneous expense will be set to zero for the
beginning of the year.
Should you write this check today and record the expense or
write the check tomorrow? How would the company be affected if the
check is written and the invoice ends up being erroneous?
a check for $2,000 as a miscellaneous expense for supplies in order
to complete a project for a VIP customer today. You notice the
invoice looks a little different from other invoices that are
usually processed. You know that by preparing the closing entries
tomorrow, the miscellaneous expense will be set to zero for the
beginning of the year.
Should you write this check today and record the expense or
write the check tomorrow? How would the company be affected if the
check is written and the invoice ends up being erroneous?