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On December 31, the balance in the Prepaid Advertising account was $176,000, which is the remaining balance of a twelve-month advertising campaign purchased on August 31 in the current year. Assuming the cost is spread equally over each month how much did this advertising campaign cost in total?

a) $286,000

b) $176,000

c) $264,000

d) $154,000

e) $22,000

Accounting Basics, Accounting

  • Category:- Accounting Basics
  • Reference No.:- M947520

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