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Ruby, Inc., is an automobile dealer. This year the company makes a special offer. The purchaser of a new car will get free gas for

Ruby, Inc., is an automobile dealer. This year the company makes a special offer. The purchaser of a new car will get free gas for the first year the car is owned. The company can accurately predict the cost of gas that will be used by the customer next year for cars sold this year. Therefore, the companys financial statements reflect the estimated future costs of such gas. Explain how Ruby must account for the gas costs for tax purposes.

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