Under which of the following categories would Accounts Receivable appear? A) Current assets B) Current liabilities C) Long-term assets D) Long-term liabilities ANSWER A
Date: September 2nd, 2020
Laramie, Inc. signed a contract with a service provider for security services at a rate of $260 per month for the period of January through June. Laramie, Inc. will pay the service provider the entire amount at the end of June The company makes adjusting entries each month. During the month of June, it should […]
Date: September 2nd, 2020
On June 1, Edison, Inc. borrowed $24,000 on a one-year Note Payable with an interest rate of 10% per year. It will repay the principal and interest at the end of the one-year period. The company makes accrual adjustments at the end of each month The company should record interest expense of $2,400 on June […]
Date: September 2nd, 2020
Whitney Chemicals Company received cash of $40,000 and issued common stock. Which of the following accounts will be credited? A) Accounts Receivable B) Cash C) Common Stock D) Accounts Payable ANSWER C
Date: September 2nd, 2020
A business purchases equipment for $8,000 cash. Which of the following accounts is credited? A) Cash B) Accounts Payable C) Common Stock D) Equipment ANSWER A
Date: September 2nd, 2020
Under which of the following categories would Accounts Payable appear? A) Long-term assets B) Current assets C) Long-term liabilities D) Current liabilities ANSWER D
Date: September 2nd, 2020
Kostner Financial Services, Inc. performed accounting services for a client in December. A bill was mailed to the client on December 30. The company received the client’s check by mail on January 5 Which of the following accounts should appear on the income statement for the year ended December 31 as related to the services […]
Date: September 2nd, 2020
A business makes a cash payment of $12,000 to a supplier for supplies purchased two weeks earlier. Which of the following accounts is debited? A) Cash B) Accounts Payable C) Supplies D) Accounts Receivable ANSWER B
Date: September 2nd, 2020
Argyle Designs, Inc. has entered into a contract to design 40 new dresses for a customer. It will collect a total of $40,000 after the design services are complete. Argyle started design work on June 1. As of June 30, it finished 8 of the 40 designs The company will make an adjusting entry at […]
Date: September 2nd, 2020
Notes Payable due within two years are classified as ________. A) current liabilities B) current assets C) long-term liabilities D) long-term assets ANSWER C
Date: September 2nd, 2020
