Cam's is a sports bar in Chicago. During the Super Bowl football game, one of...
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Accounting
Cam's is a sports bar in Chicago. During the Super Bowl football game, one of the customers punched a hole in the wall when his favorite team fumbled the ball. Phils paid $275 to repair the hole. How should Phils account for the cost of repair?
Select one:
A. Add the cost to the 'Building' account
B. No recording is necessary since the customer will be charged for the damage
C. Recognize the cost as a reduction of sales revenue
D. Recognize the cost as repair and maintenance expense
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