Escrow & Title

A prorated item on a Mississippi closing statement for an item the seller has already paid in advance (e.g., prepaid property taxes) is shown as:

AA debit to the seller and a credit to the buyer
BA credit to the seller and a debit to the buyer✓ Correct
CA credit to both parties
DNo adjustment is needed for prepaid items

Explanation

When the seller has prepaid an expense (e.g.

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