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The reason for recording a prepaid expense as a current asset is? a) that the expense has been incurred but not yet paid. b) to

The reason for recording a prepaid expense as a current asset is?

a)

that the expense has been incurred but not yet paid.

b)

to avoid recognizing an expense so net income will be higher for the current accounting period.

c)

that the prepaid item will be returned for a cash refund.

d)

that the prepaid item will expire within one year and it has not yet become an expense.

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