During April,the Grass Is Greener Company Buys and Pays for a Six-Month

Multiple Choice

During April,the Grass is Greener Company buys and pays for a six-month supply of fertilizer in order to receive a bulk discount.The company uses accrual basis accounting.The cost of fertilizer recorded:

A) immediately as an expense.
B) as a liability, which will later be reduced as the fertilizer used.
C) partially as an expense and partially as a liability.
D) as an asset, which will later be reduced as the fertilizer is used.