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Crosscut is closing its books for '23 and asks its law firm, Finnigan & Co for the amount to accrue for legal work performed in
Crosscut is closing its books for '23 and asks its law firm, Finnigan & Co for the amount to accrue for legal work performed in '23 that won't be billed until '24. The law firm estimates there's $100,000 of '23 legal fees that will be billed after yearend. Crosscut accrues $100,000 in December. In Jan '24, Finnigan bills Crosscut $60,000 for '23 legal work and indicates the remaining $40,000 will be billed in Feb '24. In Feb, the law firm issues a final bill for '24 legal work for $32,000 and Crosscut pays the law firm $92,000 on Feb 20th. Show the December, January and February entries to record Finnigan's legal fees
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