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The primary difference between prepaid and accrued expenses is that prepaid expenses have: been incurred and accrued expenses have not. not been paid and accrued

The primary difference between prepaid and accrued expenses is that prepaid expenses have:

been incurred and accrued expenses have not.
not been paid and accrued expenses have.
been recorded and accrued expenses have not.
not been recorded and accrued expenses have.

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