Question $4$

In the current financial period, accrued expenses are recorded as $$250,000$ and the cash paid for expenses, as shown in the statement of cash flows, is $$180,000.$ This means that:

expenses may have been incurred in the current period and have not been paid by the end of the current period.

all of the options are correct.

expenses may have been paid for in advance in the previous period.

depreciation may have been recorded in the statement of profit or loss.