Chapter 4, Problem 3ME

Matching Transactions with Type of Adjustment

Match each transaction with the type of adjustment that will be required, by entering the appropri­ate letter in the space provided.

	Transaction	Type of Adjustment
______ 1.	Supplies for office use were purchased during the year for $500, of which $100 remained on hand (unused) at year-end.	A. Accrual adjustment
	.	B. Deferral adjustment
______ 2.	Interest of S250 on a note receivable was earned at year- end although collection of the interest is not due until the following year.
______ 3.	At year-end, salaries and wages payable of $3,600 had not been recorded or paid.
______ 4.	At year-end, one-half of a $2,000 advertising project had been completed for a client, but nothing had been billed or collected.
______ 5.	Redeemed a gift card for $600 of services.