Talbridge Ltd. had the following account balances at December 31, 2021: Account Name Repairs expense Wages expense Prepaid expenses Dividends Purchase of intangibles Cash (end of year) Deferred revenue Owners' capital Accounts payable Prepaid insurance Collections from customers Rent expense Contributions by owners Accounts receivable Payment of dividends Website design Service revenue Cash received from debt Income tax expense Office supplies Office supplies expense Payments to suppliers Amount $1,125 21,350 2,500 17,155 Cash (beginning of year) 16,890 Retained earnings (beginning of year) 8,575 Interest expense 900 Business licence 60 Bank loan payable, due in 2025 Website expense Income tax payable 1,400 3,500 1,360 36,385 1,500 12,000 12,810 900 28,350 2,100 3,500 1,300 47,560 12,500 4,450 2,550 1,845 18,995 12,500 500 575
how will IFFA record the May 8 transaction?
a. increase Prepaid Insurance and decrease Cash, $2,592
b. increase both Insurance Expense and Accounts Payable, $2,592
c. increase both Prepaid Insurance and Accounts Payable, $2,592
d. increase Insurance Expense and decrease Cash, $2,592
e. increase Prepaid Insurance and decrease Cash, $2,400
Enter the letter that corresponds to your choice. (A B C D E)
How will IFFA record the May 10 transaction?
a. increase Prepaid Advertising and decrease Cash, $226
b. increase both Prepaid Advertising and Accounts Payable, $226
c. increase Advertising Expense and decrease Cash, $226
d. increase both Prepaid Advertising and Accounts Payable, $200
e. increase Prepaid Advertising and decrease Cash, $200
Enter the letter that corresponds to your choice. (A B C D E)
How will IFFA record the May 11 transaction?
a. increase Advertising Expense and decrease Prepaid Advertising by $226 each, and also decrease Cash and increase Wages Expense by $60 each
b. increase Advertising Expense and decrease Prepaid Advertising by $113 each, and also increase Cash and decrease Wages Expense by $60 each
c. increase Advertising Expense and decrease Prepaid Advertising by $113 each, and also decrease Cash and increase Wages Expense by $60 each
d. increase Advertising Expense and decrease Prepaid Advertising by $226 each, and also increase Cash and decrease Wages Expense by $60 each
e. decrease Advertising Expense and increase Prepaid Advertising by $193 each, and also increase Cash and decrease Wages Expense by $60 each
f. increase Advertising Expense and decrease Prepaid Advertising by $226 each, and also decrease Cash and increase Wages Expense by $60 each
Enter the letter that corresponds to your choice. (A B C D E F)
How will IFFA record the May 12 transaction?
a. increase both Cash and Service Revenue, $100
b. increase both Cash and Deferred Revenue, $100
c. increase both
d. increase both Accounts Receivable and Deferred Revenue, $100
e. No entry is needed.
Enter the letter that corresponds to your choice. (A B C D E)
How will IFFA record the May 15 transaction?
a. increase both Cash and Service Revenue, $200
b. increase both Cash and Deferred Revenue, $200
c. increase both Cash and Service Revenue, $1,000
d. increase both Accounts Receivable and Service Revenue, $200
e. increase both Accounts Receivable and Deferred Revenue, $200
f. no entry is needed until you provide the services.
Enter the letter that corresponds to your choice. (A B C D E F)
How will IFFA record the May 27 transaction?
a. increase both Accounts Receivable and Service Revenue, $2,000
b. increase both Accounts Receivable and Deferred Revenue, $2,000
c. increase both Cash and Service Revenue, $2,000
d. increase both Cash and Deferred Revenue, $2,000
e. No entry is needed.
Enter the letter that corresponds to your choice. (A B C D E)
Step by step
Solved in 1 steps
