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Kennedy Company operates a retail store and must determine the proper December 31, 2021 year-end accrual for the following expenses: The store lease calls for
Kennedy Company operates a retail store and must determine the proper December 31, 2021 year-end accrual for the following expenses: The store lease calls for a fixed rent of Php12,000 per month, payable at the beginning of the month, and additional rent equal to 6% of net sales over Php2,500,000 per calendar year, payable on January 31 of the following year. Net sales for 2016 are Php4,500,000 An electric bill of Php8,500 covering the period December 16, 2021 through January 15, 2022 was received January 22, 2022. A Php4,000 telephone bill was received January 7, 2021 covering: o Service in advance of January 2022 Php 1,500 o Local and toll calls for December 2021 2,500 The reported accrued liabilities in December 31, 2021 should be
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