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Paul Company's Expected Sales for April Are $27,600 Which of the Following Operating Expenses Is a Noncash Expense

Question 22

Multiple Choice

Paul Company's expected sales for April are $27,600.Other information follows:
 Budgeted Operating Expenses  Amount  Wages $2,000 Advertising 1,680 Patent amortization 1,440 Rent 2,560 Marketing 5% of sales \begin{array}{ll}\text { Budgeted Operating Expenses }&\text { Amount }\\\text { Wages } & \$ 2,000 \\\text { Advertising } & 1,680 \\\text { Patent amortization } & 1,440 \\\text { Rent } & 2,560 \\\text { Marketing } & 5 \% \text { of sales }\end{array}
Which of the following operating expenses is a noncash expense?


A) Advertising
B) Rent
C) Patent amortization
D) Wages

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