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1. Using an accrual system, prepare an operating statement for the year and a balance sheet as of December 31. What do these statements tell

1. Using an accrual system, prepare an operating statement for the year and a balance sheet as of December 31. What do these statements tell you about BOGA's profitability? 2. In the absence of the bank's stipulation that accrual be used, which type of system-modified cash or accrual-would you recommend that Dr. Amsted use for BOGA? Why

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