Recently, Bon Appetite Cafe contracted and paid for a relatively expensive advertisement in Haute Cusine magazine. Despite the fact that the ad will appear in Haute Cuisine three months after the end

Recently, Bon Appetite Cafe contracted and paid for a relatively expensive advertisement in Haute Cusine magazine. Despite the fact that the ad will appear in Haute Cuisine three months after the end of Bon Appetite Café current fiscal year, the café accountant recorded the disbursement to advertising expense. If no adjusting entry is made, how will this year’s financial statements of Bon Appetite Café be effected?

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