Accounting I Final Review

What is the correct journal entry for the transaction, PAID CASH TO REPAIR OFFICE EQUIPMENT, $250?

• Debit Cash and credit Miscellaneous Expense
• Debit Cash and credit Repair Expense
• Debit Miscellaneous Expense and credit Cash
• Debit Repair Expense and credit Cash

What is the correct journal entry for the transaction, PAID CASH FOR PRINTER CARTRIDGES?

• Debit Owner's drawing and credit Cash
• Debit Cash and credit Owner's Capital
• Debit Supplies and credit Cash
• Debit Miscellaneous Expense and credit Cash

Joe's Taxi Service purchased a new taxi on January 1, 2010 for $22,000.00. The estimated salvage (disposal) value is $1,000.00 and the estimated useful life is 3 years. What is the annual depreciation expense?

• $7,333.33
• $7,000.00
• $3,500.00
• $1,000.00

Creative Art Supplies purchased a delivery van on March 1, 2009 for $12,500.00. The estimated salvage (disposal) value is $500.00 and the estimated useful life is 10 years. What is the accumulated depreciation at the end of 2011?

• $1,200.00
• $2,400.00
• $3,400.00
• $3,600.00

Creative Art Supplies has depreciation expense of $950.00 at the end of the fiscal year. What is the entry to journalize the depreciation expense?

• Debit Accumulated Depreciation $950.00; credit Depreciation Expense $950.00
• Debit Depreciation Expense $950.00; credit Accumulated Depreciation $950.00
• Debit Depreciation Expense $950.00; credit Equipment $950.00
• Debit Equipment $950.00; credit Accumulated Depreciation $950.00

Steve's Auto Parts purchased a display case on January 1, 2009 for $3,400.00. The estimated salvage (disposal) value is $200.00 and the estimated useful life is 10 years. What is the  accumulated straight-line depreciation at the end of 2011?

• $320.00
• $640.00
• $680.00
• $960.00

Mountain Business Services purchased a computer on January 1, 2009 for $3,600.00. The estimated salvage (disposal) value is $200.00 and the estimated useful life is 5 years. What is the annual depreciation expense?

• $200.00
• $360.00
• $680.00
• $720.00

NC Office Supply has depreciation expense of $7,525.00 at the end of the fiscal year. What is the entry to journalize the depreciation expense?

• Debit Equipment $7,525.00; credit Accumulated Depreciation $7,525.00
• Debit Depreciation Expense $7,525.00; credit Equipment $7,525.00
• Debit Depreciation Expense $7,525.00; credit Accumulated Depreciation $7,525.00
• Debit Accumulated Depreciation $7,525.00; credit Depreciation Expense $7,525.00

Western Textile Company estimates uncollectible accounts expense by calculating a percentage of total sales on account. Total sales on account for the year are $5,275,000.00. In the past, actual uncollectible accounts expense has been about 1.0% of total sales on account. What is the estimated uncollectible accounts expense for the year?

• $52.75
• $527.50
• $5,275.00
• $52,750.00

Pet Food Wholesale estimates its uncollectible accounts expense for the year to be $1,500.00. What is the correct entry to record the estimated uncollectible accounts expense?

• Debit Uncollectible Accounts Expense, $1,500.00; credit Accounts Receivable, $1,500.00
• Debit Uncollectible Accounts Expense, $1,500.00; credit Allowance for Uncollectible Accounts, $1,500.00
• Debit Accounts Receivable, $1,500.00; credit Uncollectible Accounts Expense, $1,500.00
• Debit Allowance for Uncollectible Accounts, $1,500.00; credit Uncollectible Accounts Expense, $1,500.00