Accounting 1 Chapter 4 4.02 Exam Questions

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

• debit Legal Fees-Expense and credit Cash.

• debit Miscellaneous Expense and

  credit Legal Fees-Revenue.

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 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.

D.

The correct journal entry for the transaction PAID THE TELEPHONE BILL is:

• debit Equipment and credit Cash

• debit Telephone Expense and credit Cash

• debit Cash and credit Equipment

• debit Cash and credit Equipment

ill 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.

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

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

• debit Miscellaneous Expense and credit Cash

• debit Cash and credit Truck Expense

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

• debit Cash, $500; credit Supplies

  Expense, $500.

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

• debit Supplies Expense, $500;

  credit Cash, $500.

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

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.

Slick's Used Cars received $415 cash from Eddie Baker for payment on account. The journal entry for Slick's Used Cars to record this transaction is:

• debit Cash, $415; credit Accounts Receivable/Eddie Baker, $415

• debit Sales, $415; credit Accounts Receivable/Eddie Baker, $415

• debit Accounts Receivable/Eddie Baker, $415; credit Cash, $415

• debit Accounts Receivable/Eddie

  Baker, $415; credit Sales, $415.