y 1: Prepaid rent for three months, $1,500 May 5: Received and paid electricity bill, $100 May 9: Received cash for meals served to customers, $2,700 May 14: Paid cash for kitchen equipment, $3,000 May 23: Served a banquet on account, $1,600 May 31: Made the adjusting entry for rent (from May 1). May 31: Accrued salary expense, $1,800 May 31: Recorded depreciation for May on kitchen equipment, $740 What is the cash basis for the month?
y 1: Prepaid rent for three months, $1,500 May 5: Received and paid electricity bill, $100 May 9: Received cash for meals served to customers, $2,700 May 14: Paid cash for kitchen equipment, $3,000 May 23: Served a banquet on account, $1,600 May 31: Made the adjusting entry for rent (from May 1). May 31: Accrued salary expense, $1,800 May 31: Recorded depreciation for May on kitchen equipment, $740 What is the cash basis for the month?
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Delicious Catering completed the following selected transactions during May 2016:
- May 1: Prepaid rent for three months, $1,500
- May 5: Received and paid electricity bill, $100
- May 9: Received cash for meals served to customers, $2,700
- May 14: Paid cash for kitchen equipment, $3,000
- May 23: Served a banquet on account, $1,600
- May 31: Made the
adjusting entry for rent (from May 1). - May 31: Accrued salary expense, $1,800
- May 31: Recorded
depreciation for May on kitchen equipment, $740
What is the cash basis for the month?
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