Question: Prepayments occur when: Multiple Choice Cash payment ( or an obligation to pay cash ) occurs before the cost is used in running the business.

Prepayments occur when:
Multiple Choice
Cash payment (or an obligation to pay cash) occurs before the cost is used in running the business.
Cash payment occurs after the cost is used in running the company and liability is recorded.
Customers are unable to pay the full amount due when goods are delivered.
Sales are delayed pending credit approval.
Prepayments occur when: Multiple Choice Cash payment (or an obligation to

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