Company XYZ pays electricity quarterly, but the bill arrives with one month delay (i.e. the electricity bill for Q1, including January, February and March, is paid at the end of April). During the year the company paid 200 for Q1, 200 for Q2 and 300 for Q3. The company expects electricity expenses to be constant going forward. The effect on the financial statement is? There are two answers about it: 1. A cost of 1000 for the income statement and an accrual of 300 in the balance sheet. 2. A cost of 1000 for the income statement and an accrual of 250 in the balance sheet. I wonder which one is true?