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Your friend is thinking of ways to lower tax by lowering the net income using the following means: Do not adjust for accrued revenue for

Your friend is thinking of ways to lower tax by lowering the net income using the following means:

Do not adjust for accrued revenue for any earned revenues, cash is not collected anyway.

Adjust the full amount of prepaid expense as expenses even if not yet used.

Explain to your friend the accounting implications and ethical considerations of her idea

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