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Problem 1: Temple Manufacturing uses accrual accounting. Each of the following events occurred during the month of February. Which one of them should be recorded as a revenue or expense for the month of February?
Select one:
a. Sales of $30,000 were made on credit. They are collected during Marchb. Collections of $10,000 were made from sales that occurred during Januaryc. Materials costing $18,000 were purchased and paid for. It is expected that they will be used during Marchd. A bill in the amount of $8,600 was received from a supplier for goods purchased during January. It was paid immediately.e. None of the above
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