Please refer to Chapter 10, Self testing exercise 2-page no. 305
Why prepaid rent of $50000 was not a deduction in the current year?
Does not that cover under the 12 month rule..
The deductions are for FY 2015/2016 (which is FY 16). However, Note 1 states $50,000 Rent expense is for next financial year(FY 2017).
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