A Company Using the Accrual Basis of Accounting Pays $15,000

question 32

Multiple Choice

A company using the accrual basis of accounting pays $15,000 for a television advertising campaign. Commercials will run evenly in December, January, and February. How much expense will be reported on an income statement prepared for the month of December?

• A)$10,000
• B)$15,000
• C)$5,000
• D)$0

---

Definitions:

Haymarket Affair

A violent confrontation between police and labor protesters in Chicago in 1886, which became a symbol of the struggle for workers' rights.

Labor Movement

A social and political movement advocating for the rights and interests of working-class individuals, including better wages, working conditions, and labor laws.

Un-American

Activities or behaviors that are deemed contrary to the interests, ideals, or values of the United States or contrary to the patriotic sentiment.

Nineteenth-century Indians

Refers to the Native American peoples and their experiences during the 1800s, marked by dispossession, cultural transformation, and resistance.