Question
You are the bookkeeper for Refers are us. Your company repairs and restores old refrigerators. Your clients are typically older individuals that have an interest
You are the bookkeeper for "Refers are us." Your company repairs and restores old refrigerators. Your clients are typically older individuals that have an interest in keeping their same refrigerator instead of investing in a new one. On your first day on the job you notice several repair jobs that should be included in the month of March books; however, the boss informs you that he would like those expenses to appear on the books for April because he want his income to impress his board of directors. What should you do as a bookkeeper? What is the matching principle? How is accrual accounting versus cash accounting relevant in this scenario? Is your boss being ethical? Explain!
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