Accounting Unit Four Part 1 Review

The correct journal entry for the transaction paid the telephone bill is:

• debit Equipment and credit Cash

• debit Telephone Expense and credit Cash.

The correct journal entry for the transaction PAID CASH TO REPAIR OFFICE EQUIPMENT is:

• debit Cash and credit Miscellaneous Expense.

• debit Cash and credit Repair Expense.

• debit Miscellaneous Expense and credit Cash.

• debit Repair Expense and credit Cash.

The transaction RECEIVED A CHECK FOR LEGAL FEES would result in the journal entry:

• debit Cash and credit Legal Fees-Expense.

• debit Cash and credit Legal Fees-Revenue.

The correct journal entry for the transaction RECEIVED CASH ON ACCOUNT FROM BILL'S LIMOS is:

• debit Accounts Receivable/Bill's Limos and credit Cash.

• debit Accounts Receivable/Bill's Limos and credit Jane Smith, Capital.

• debit Cash and credit Accounts Receivable/Bill's Limos.

• debit Cash and credit Jane Smith, Capital.

Multiple Choice from Item BankClassic Cars, Inc. paid $500 cash for supplies from Wendy's Supplies. The journal entry for Classic Cars, Inc. to record this transaction is:

• debit Supplies, $500; credit Cash, $500.

• debit Cash, $500; credit Supplies Expense, $500.

The correct journal entry for the transaction PAID CASH ON ACCOUNT TO VENDOR JONES SUPPLY is:

• debit Supplies and credit Cash.

• debit Cash and credit Accounts Payable/Jones Supply.

• debit Accounts Payable/Jones Supply and credit Cash.

• debit Cash and credit Accounts Receivable/Jones Supply.

Bill James discovered that a transaction for Utilities Expense was journalized and posted in error as a debit to Repair Expense, $250. The entry to correct the error is:

• debit Cash, $250; debit Utilities Expense, $250.

• debit Utilities Expense, $250; credit Cash, $250.

• debit Utilities Expense, $250; credit Repairs Expense, $250.

• debit Repair Expense, $250; credit Utilities Expense, $250.

Taco Home paid cash for advertising, $400. The journal entry to record this transaction is:

• debit Advertising, $400; credit Cash, $400.

• debit Advertising Expense, $400; credit Cash, $400.

• debit Cash, $400; credit Advertising, $400.

• debit Cash, $400; credit Advertising Expense, $400.

The correct journal entry for the transaction PAID CASH FOR A DELIVERY (MISCELLANEOUS EXPENSE), is:

• debit Supplies and credit Miscellaneous Expense.

• debit Miscellaneous Expense and credit Cash.

The correct journal entry for the transaction RECEIVED CASH ON ACCOUNT FROM BURKE SUPPLY is:

• debit Accounts Receivable/Burke Supply and credit Cash.

• debit Accounts Receivable/Burke Supply and credit Jane Smith, Capital.

• debit Cash and credit Accounts Receivable/Burke Supply.

• debit Cash and credit Jane Smith, Capital.