Ingvar Company has the following expenditures: newspaper advertising for one month, $400; annual…

Ingvar Company has the following expenditures: newspaper advertising for one month, $400; annual insurance premium, $5,000; salaries paid to employees for one month, $7,000; and an industrial oven used in operations, $15,000. The bookkeeper has recorded all of these as expenses in the same month they were paid. Do you agree with this treatment? Explain.

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