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Choose the correct answer regarding the effect of the following transaction on ABC Company's 2021 income statement.

On December 30, 2021, ABC receives an invoice for maintenance services for its machines provided throughout the month of December by another company. This invoice will be paid by ABC in March 2022. Question options:

The result for 2021 is reduced when the company pays the invoice in March 2022.

No expense should be recognized in 2021 until the invoice is paid in 2022.

Recognition of the charge in December 2021 results in an increase in profit for the 2021 financial year

The recognition of the charge in December 2021, in the year in which it is incurred, increases the charges and reduces the result for the year 2021

choose right answer only:

The HELL company bought a machine on 03-01-2009 at a cost of $159,000. The machine is depreciated using the straight-line method. The service life of the machine is 16 years. The residual value of the machine is $3,000. The company sold the machine on 2021-03-01 for $44,000. The company did: Question options:

A gain on disposal of $1,187.5

A gain on disposal of $5,000

A loss on sale of $7,750

A gain on disposal of $4,187.5

none of the above

A gain on disposal of $2,000