ch of the following transactions involves the exchange of a liability for an expense? Providing services for a custom

Q: In quickbooks, Describe the steps used to record an automatic loan payment that appears on a bank…

A: QuickBooks is an accounting software developed to record and manage the loan account, loan payments,…

Q: Simple interest applies when interest is earned _____________. a. on interest b. in a serious of…

A: Interest is the value provided or paid for the sum borrowed. If the company has made certain…

Q: Identify which one of the following is a document issued by an individual to his or her bank,…

A: Instrument issued by the pay for operating the payment and receiving settlement. There are many…

Q: Which one of the four methods of payments creates an accounts receivable?   Select one:   a.…

A: Accounts receivable: Accounts receivable refers to the amounts to be received within a short period…

Q: How will the following items affect the pass book balance?  Direct payment by customer into the…

A: Pass book: A pass book issued by bank to its customers for the transactions carried out with bank…

Q: Which of the following should be classified as a current liability? a. Customers' unredeemed gift…

A: A current liability is payable within the accounting cycle or one year whichever is earlier. The…

Q: Which of the following statements is correct about credit period? A. If a customer purchases goods…

A: Credit sales means when goods of the business are sold on account to customers and customers has not…

Q: The entry to record interest expense on a bank loan payable is a   a. debit to interest expense and…

A: The adjustment entries are made at the end of the year to adjust the revenues and expenses of the…

Q: Indicate whether the general ledger accounts will be debited or credited when recording the…

A: Journal Entry :— It is an act of recording transaction in books of account when transaction…

Q: The accounting treatment of a transfer fees by a bank is: a. An interest income b. An interest…

A: Introduction: Interest: Interest is the amount charged on the principle amount. Interest is…

Q: 9. Which accounts would be debited and credited in the entry to record accrued interest on a note…

A: The objective of the question is to identify the correct accounts that would be debited and credited…

Q: A Credit Note would be issued by a business: A. as evidence of goods sold on credit. B. as reference…

A: Accounting refers to the process of recording, summarizing, interpretation the financial information…

Q: 1. In the _____, a balance is calculated at the end of each each, incorporating any purchases,…

A: Fill in the blanks in the step 2.

Q: When a company earns interest on a note receivable or on a bank account, the debit and credit are as…

A: Note Receivable:-It is a promissory note where the written promise to pay the amount at some future…

Q: If the owner of a company pays an amount of interest on a personal loan that he uses to begin his…

A: A personal loan is money borrowed by an individual for any purpose. These are unsecured loans given…

Q: what is type of this account? General reserve Outstanding Salaries Provision for Taxation office…

A: General Reserve is an account created out of profit earned by a company for its business needs like…

Q: The trade and other receivables note will include the following items? A.Debtors control +…

A: Trade and other receivables form a part of current assets and include the amount owed by the…

Q: A company repays its bank borrowings.  The entry to record that transaction should be Group of…

A: Borrowing means where business taken loan from outsider to be used in business and repaid later.

Q: A "receipt on account" results in a credit to: An A/P account Bank An A/R account Capital

A: Receipt on account means, cash received from previously made credit sales.

Q: Which one of the following would not appear on a bank statement for a chequing account? a.Deposits…

A: Deposits in transit: Deposit in transit means the money received by a company and recorded in the…

Q: 1Which one of the following source documents will be used to make an entry in the debtors journal…

A: Answer:-  Debtor journal meaning:- This diary keeps track of any transactions in which the company…

Q: Accounting The procedure that best reveals the existence of contingent debts is

A: Contingent liability is a liability that may or may happen on a future date that is based on an…

Q: How would each of the following items be reported on the balance sheet? a.   Accrued vacation pay.…

A: Current liabilities are short-term obligations payable within a fiscal year or an operating cycle.…

Q: A written order for a bank or other financialinstitution to pay a stated dollar amountto a specified…

A: A written order for a bank or other financialinstitution to pay a stated dollar amountto a specified…

Q: ovide example of accounting treatment for transactions related to loan in two situations as…

A: Loan : It is the amount which is borrowed by the individual to fulfil his/her needs. When amount…

Q: When transferring money from the regular checking account to a special purpose payroll account which…

A: A checking account, also known as a transactional or demand account, is a type of bank account that…

Q: Accounting Question

A: Closing entries: These entries are passed to close the revenues, expenses, income/loss and any…

Q: ____1. This is the criterion to determine whether the transfer is accounted for as borrowing.…

A: SOLUTION- 1   "Agreement to Repurchase or redeem transferred assets,"   > This agreement consists…

Q: The accounting treatment of Discount on bill discounted is: a. A current liability b. A current…

A: The earnings which are earned but not received are the accrued revenue for the business. The…

Q: What kinds  of fees and penalties can be levied on savings accounts?

A: Bank: It is a financial institution that accept deposits from and provide loan to public. This…

Q: Which of the following entries records receiving the cash payment from a customer for previous…

A: When a service is performed and the cash is receivable on such service from customer then such…

Q: B. Record the entry for acceptance of promissory note in exchange of accounts receivable from…

A: Introduction: A journal entry is a recording of a commercial transaction in the accounting system of…

Q: what happen to the account if the owner pay trade payable using own personal bank?

A:

Q: The following accounts are liability balances, except bank overdraft payables loan from a bank loan…

A: Liabilities are the things which a person or company should owe to someone.

Contingent Liabilities and Provisions

A contingent liability can be defined as a liability the occurrence of which is dependent upon the happening of an uncertain future event. It is generally recorded in the books only when the amount of liability can be reasonably estimated and the contingency is likely to occur shortly.