Under a double-entry system, show how the entry in each statement is entered in the ledger by using debit or credit to indicate the increase or decrease in the affected account. 1 2 3. 4. 5. 6. 7. 8. 9. 10. Statements An increase in Salaries and Wages Expense. A decrease in Accounts Payable. An increase in Prepaid Insurance. An increase in Common Stock A decrease in Supplies. An increase in Dividends. An increase in Service Revenue. A decrease in Accounts Receivable An increase in Rent Expense A decrease in Equipment. Debit or Credit

Under a double-entry system, show how the entry in each statement is entered in the ledger by using debit or credit to indicate the increase or decrease in the affected account. 1 2 3. 4. 5. 6. 7. 8. 9. 10. Statements An increase in Salaries and Wages Expense. A decrease in Accounts Payable. An increase in Prepaid Insurance. An increase in Common Stock A decrease in Supplies. An increase in Dividends. An increase in Service Revenue. A decrease in Accounts Receivable An increase in Rent Expense A decrease in Equipment. Debit or Credit

College Accounting (Book Only): A Career Approach

13th Edition

ISBN:9781337280570

Author:Scott, Cathy J.

Publisher:Scott, Cathy J.

Chapter2: T Accounts, Debits And Credits, Trial Balance, And Financial Statements

Section: Chapter Questions

Problem 2QY: Which of the following statements is correct? a. Increases to cash are shown on the right side of...

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Which of the following statements is correct? a. Increases to cash are shown on the right side of the account. b. Decreases to accounts payable are shown on the right side of the account. c. Decreases to supplies are shown on the right side of the account. d. Increases to rent expense are shown on the right side of the account.
Increases and decreases in various types of accounts are listed below. In each case, indicate by "Dr." or "Cr." (a) whether the change in the account would be recorded as a debit or a credit and (b) whether the normal balance of the account is a debit or a credit. (a) (b) Recorded As Normal Balance 1. Increase in Common Stock 2. Increase in Dividends 3. Decrease in Accounts Receivable 4. Increase in Note Payable 5. Increase in Accounts Payable 6. Decrease in Supplies 7. Decrease in Salaries Expense 8. Increase in Accounts Receivable 9. Increase in Cash 10. Decrease in Land
For each of the following accounts indicate the effect of a debit or a credit on the account and the normal balance. Increase (+). Decrease (-). 1. 2. 3. Salaries and wages expense Accounts receivable 5. Service revenue 4. Common stock Dividends Debit Credit Normal Balance
Indicate whether a debit or credit decreases the normal balance of each of the following accounts. Decrease Normal Balance a. Prepaid Rent b. Cash c. Office Supplies d. Notes Receivable e. Accounts Receivable f. Interest Payable
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Consider the following transactions associated with accounts receivable and the allowance for uncollectible accounts.Required:For each transaction, indicate whether it would increase (I), decrease (D), or have no effect (NE) on the account totals. (Hint: Make sure the accounting equation, Assets = Liabilities + Stockholders’ Equity, remains in balance after each transaction.)
Identify whether a debit or credit results in the indicated change for each of the following accounts. To decrease Unearned Revenue
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What is the primary purpose of the Statement of Affairs ? a. To determine how much is owed by the customers b. To determine the amount for the owners equity c. To determine how is left in the bank account d. To determine if there was a gain or loss on disposal The term Margin is determined by which of the following operations? a. Adding all the incomes b. Dividing gross profit by sales c. Subtracting expenses from sales d. Multiplying capital by a decimal The Sandy Bay is a trader in sand. On December 31, 2010 the closing inventory was completely destroyed by flood rains. The following information is available: (1) Inventory at December 1, 2010 at cost $31,400 (2) Purchases for December 2010 $55,600 (3) Sales for December 2010 $88,800 (4) Standard mark-up is 25% Based on this information, what was the value of the closing inventory? a. $15,960 b. $17,760 c. $20,400 d. $25,800…