Andular Financial Services was organized on April 1 of the current year. On April 2, Andular prepaid $3,840 to the…

Andular Financial Services was organized on April 1 of the current year. On April 2, Andular prepaid $3,840 to the city for taxes (license fees) for the next 12 months and debited the prepaid taxes account. Andular is also required to pay in January an annual tax (on property) for the previous calendar year. The estimated amount of the property tax for the current year (April 1 to December 31) is $23,865.

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