Reference no: EM13128979
On January 15, 2013, Yancey Company paid property taxes on its factory building for the calendar year 2013 in the amount of $840,000. In the first week of April 2013, Vancey made unanticipated major repairs to its plant equipment at a cost of $2,100,000. These repairs will benefit operations for the remainder of the calendar year. How should these expenses be reflected in Yancey's quarterly income statements?
Three Months Ended
3/31/13 6/30/13 9/30/13 12/31/13
a. $210,000 $910,000 $910,000 $910,000
b. $210,000 $2,310,000 $210,000 $210,000
c. $840,000 $1,400,000 $ -0- $ -0-
d. $735,000 $735,000 $735,000 $735,000
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