Description of this paper

Chapter 2 Recording Business Transactions

Description

solution


Question

Question;37) A business repays the amount borrowed;on a note payable by cash. Which of the following accounts will be debited?;A) Cash;B) Bank;C) Notes Payable;D) Notes Receivable;38) A business repays the amount borrowed;on a note payable by cash. Which of the following accounts will be credited?;A) Accounts Payable;B) Cash;C) Notes Payable;D) Notes Receivable;39) A business makes a payment in cash for;advertising expense. Which of the following accounts will be debited?;A) Cash;B) Bank;C) Accounts Receivable;D) Advertising Expense;40) A business makes a payment in cash for;advertising expense. Which of the following accounts will be credited?;A) Notes Payable;B) Accounts receivable;C) Cash;D) Advertising expense;41) A business paid cash dividends to;shareholders. Which of the following accounts will be debited?;A) Cash;B) Dividends;C) Accounts Payable;D) Common Stock;42) A business paid cash dividends to;shareholders. Which of the following accounts will be credited?;A) Common Stock;B) Dividends;C) Cash;D) Accounts Payable;43) An accounting entry that is;characterized by having multiple debits and/or multiple credits is called a;entry.;A) balanced;B) posted;C) chart of accounts;D) compound journal;Answer;D;44) A business makes a payment of $1,400;on a note payable, consisting of a $200 interest payment and a $1,200 principal;payment. Which of the following journal entries would be recorded?;A) Cash is credited for $1,200, Interest;Expense is credited for $200, and Notes Payable is debited for $1,400.;B) Notes Payable is credited for $1,200;Cash is credited for $200, and Interest Expense is debited for $1,400.;C) Cash is credited for $1,400, Notes;payable is debited for $1,200, and Interest Expense is debited for $200.;D) Notes Payable is credited for $1,400, Cash;is debited for $1,200, and Interest Expense is debited for $200.

 

Paper#55126 | Written in 18-Jul-2015

Price : $22
SiteLock