True Or False? The entry to record a cash receipt from a customer when the service is to be provided in a future period involves a debit to an unearned revenue account.
Q: Which of these transactions requires a debit entry to Cash?A. paid balance due to suppliersB. sold…
A: Cash is one of the asset held by the business, for which normal balance is debit balance. Any…
Q: REQUIRED: IDENTFY ONE ACCOUNT AND ONE ASSERTION FOR EACH CONDITION (IDENTIFY EITHER THE DEBIT OR…
A: Journal entries: It is the duty of the accountant to record business economic and non-economic…
Q: The revenue recognition principle states that all types of incomes should be recorded or recognized…
A: We have the following question: The revenue recognition principle states that all types of incomes…
Q: When a company extends credit directly to a customer for a purchase, the sale is recorded as a debit…
A: Customer record: It is the record of customers of company which contains details like name, address,…
Q: True Or False? The entry to record a cash receipt from a customer when the service is to be…
A: The assets are debited and liabilities are credited.
Q: How to enter that transaction into a cash receipts journal and also into a cash payments journal
A: Cash Receipt Journal: Cash receipt journal is an accounting journal, in which all cash receipts are…
Q: Why should cash receipts be deposited on the day of receipt?
A: Cash receipts refers to the money received in the form of cash on a specific date or during a…
Q: Under the realization principle, revenue from sale of products is recognized a. At date of delivery…
A: Recognition of Revenue - Recognition of Revenue is the recording of revenue in the financial year.…
Q: rue or False. All payments by cheque are recorded in the cash payments journal. Any GST/HST paid on…
A: Cash payment journal is a accounting book, which records all type of payments such as payment for…
Q: In which voucher from the accounting documents the money entering the cash of the business A)…
A: Accounting Voucher: These are used to record all account related transactions. They are of 2 types:…
Q: Which of the following is recorded in the cash payments journal? a. adjusting entry for accrued…
A: Cash payments journal is a special journal. It records all the payments that the company has made by…
Q: Which of the following is recorded in the cash receipts journal?
A: Answer: Option C
Q: Why should cash receipts be deposited on the same day they are received?
A: The bank reconciliation statement is prepared to equate the balances of cash book and passbook with…
Q: Which of the following documents is issued by a customer to provide information about the nature of…
A: Every transaction that takes place in a business should be recorded appropriately in the books of…
Q: If a journal entry includes a debit or credit to the Cash account, it is most likely which of the…
A: Answer: If a journal entry includes a debit or credit to the Cash account, it is most likely an…
Q: The entry to record collection of trade receivables under cash basis of accounting is A. debit to…
A: Under cash basis of accounting only cash transections are recorded such as cash collection, Cash…
Q: The cash receipts journal is used to record all transactions that include a debit to the Cash…
A: A cash account is a trading account that mandates the account holder to pay for all securities…
Q: Which of the following is an example of revenue or expense to be recognized in the current period’s…
A: Income statement forms a part of financial statements and is prepared with a view to show the net…
Q: Why should purchases to credit customers and cash receipts from credit customers be quickly…
A: sales can be either cash sales or credit sales. Credit sales will have accounts receivables or…
Q: he purchase of supplies with cash would be recorded as a. Debit Cash; Credit Supplies Expense. b.…
A: Journal entry: Journal entry is a set of economic events which can be measured in monetary terms.…
Q: Deferred revenues represent liabilities recorded when cash is received from customers in advance of…
A: Adjusting entries:Adjusting entries are the journal entries, which are recorded at the end of the…
Q: if a customer owes interest on a bill, accounts receivable is debited, and interest expense is…
A: Accrued interest receivable: the accrued interest receivable means the interest income of a company…
Q: what is procedure to posting account payab
A: Answer : The cash disbursement Journal is an Accounting Form used to record all the cash outflow.…
Q: 2. Record the necessary cash adjustments. (If no entry is required for a transaction/event, select…
A: Sometimes There may be a difference in cash & passbook Balances. Usually Cash & Bank Pass…
Q: Why are cash receipts required to be deposited the same day they are received?
A: Cash receipts represent the revenue received for the sale of goods or services.
Q: When cash is debited, a typical credit is to O Accounts receivable Withdrawals O Expenses O Accounts…
A: "We’ll answer the first question since the exact one wasn’t specified. Please submit a new question…
Q: When a customer pays in advance for products or services, which of the following accounts is…
A: We have the following question: When a customer pays in advance for products or services, which of…
Q: A company records cash received from clients in advance for legal services in Unearned Revenue. If…
A: Adjusting entry means where some adjustment need to be made at the end of specified period for…
Q: Identify whether each of the following transactions, which are related to revenue recognition, are…
A: Revenue recognition principle says that revenue should be recognised in business when it is earned.…
Q: In simpler terms, revenue is the inflow of cash or accounts receivable that a business receives when…
A: Financial Accounting: It refers to the process of recording the financial transactions of the…
Q: Cash Accounts Receivable Supplies Accounts Payable Unearned Service Revenue
A: Trial balance: Trial balance is a list of all the ledger accounts with their closing balances…
Q: Which of the following journal entries is correct when a business entity uses cash to pay an account…
A: The journal entry is the initial reporting made to the books of accounts with regard to the…
Q: Which of these transactions requires a credit entry to Revenue? A. received cash from services…
A: Introduction: Journals: Recording of a business transactions in a chronological order. First step in…
Q: Which of the following accounts would need to be closed at the end of the period?a. Cashb. Supplies…
A: A closing entry is a journal entry made at the end of the accounting period. It involves shifting…
Q: A purchase of supplies on account is recorded in the ? Please explain with full explanation. a.…
A: Supplies: These are the general purpose consumables used for the purpose of business operations.…
Q: Why should sales to and receipts of cash from credit customers be recorded and posted immediately?
A: Accounting is primarily concerned with identifying, recording, measuring, summarizing transactions…
Q: The revenue recognition principle states that revenue should be recorded in the same period as the…
A: Revenue recognition principle states that the revenue should be recorded in the same period as the…
Q: occur when a company receives cash before it can recognize revenue or when a comp. pays cash before…
A: Deferrals refers receipt or payment is done but to be recognised later. Estimates refers to a rough…
Q: Required Given that prudence is the main consideration, discuss under what circumstances, if any,…
A: Accrual Basis of accounting refers to the accounting, where the transactions are recorded as and…
Q: Entity a send an employee to an official travel and gives him cash to cover his travelling expenses.…
A: A travel advance is an amount paid to the employee who is about to travel for business purposes. A…
Q: Cash payments journal Sale on account General journal Collection on account Purchases journal…
A: Introduction: Journals: Recording of a business transactions in a chronological order. First step in…
Q: Which of the following entries records receiving the cash payment from a customer for previous…
A: When a service is performed and the cash is receivable on such service from customer then such…
Q: All reconciling items are used to determine the adjusted cash balance per books require the account…
A:
Q: Why should cash receipts and sales to credit clients be documented and reported immediately
A: The Answer:
Q: Which of the following transaction will be correct in regards to Source document of a Business? a.…
A: The source documents the main place where transactions are recorded.
Q: Which of the following statements is characteristic of accrual basis accounting? Expenses are…
A: Cash basis accounting: In cash basis accounting , revenue are recognized when payment is received…
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- Identify whether each of the following transactions, which are related to revenue recognition, are accrual, deferral, or neither. A. sold goods to customers on credit B. collected cash from customer accounts C. sold goods to customers for cash D. collected cash in advance for goods to be delivered laterFor each of the following transactions, state which special journal (Sales Journal, Cash Receipts Journal, Cash Disbursements Journal, Purchases Journal, or General Journal) and which subsidiary ledger (Accounts Receivable, Accounts Payable, neither) would be used in recording the transaction. A. Sold inventory for cash B. Issued common stock for cash C. Received and paid utility bill D. Bought office equipment on account E. Accrued interest on a loan at the end of the accounting period F. Paid a loan payment G. Bought inventory on account H. Paid employees I. Sold inventory on account J. Paid monthly insurance billName two situations where cash would be remitted to a customer from a retailer after purchase.
- For each of the transactions, state which special journal (sales journal, cash receipts journal, cash disbursements journal, purchases journal, or general journal) and which subsidiary ledger (Accounts Receivable, Accounts Payable, or neither) would be used in recording the transaction. A. Paid utility bill B. Sold inventory on account C. Received but did not pay phone bill D. Bought inventory on account E. Borrowed money from a bank F. Sold old office furniture for cash G. Recorded depreciation H. Accrued payroll at the end of the accounting period I. Sold inventory for cash J. Paid interest on bank loanWhich of these transactions requires a debit entry to Cash? A. paid balance due to suppliers B. sold merchandise on account C. collected balance due from customers D. purchased supplies for cashFrom the following list, identify which items are considered original sources: A. accounts receivable B. receipt from post office for post office box C. purchase order D. general ledger E. adjusted trial balance F. statement of retained earnings G. electric bill H. packing slip I. company expense account J. statement of cash flows
- Name two situations where cash would be remitted to a retailer from a manufacturer after purchase.You just posted a debit to Cash in the general ledger. Which special journal did it come from? A. sales journal B. cash receipts journal C. purchases journal D. cash disbursements journal E. general journalWhich of these transactions requires a credit entry to Revenue? A. received cash from services performed this month B. collected balance due from customers C. received cash from bank loan D. refunded a customer for a defective product
- CASH, MODIFIED CASH, AND ACCRUAL BASES OF ACCOUNTING For each journal entry shown below, indicate the accounting method(s) for which the entry would be appropriate. If the journal entry is not appropriate for a particular accounting method, explain the proper accounting treatment for that method. 1. Office Equipment Cash Purchased equipment for cash 2. Office Equipment Accounts Payable Purchased equipment on account 3. Cash Revenue Cash receipts for week 4. Accounts Receivable Revenue Services performed on account 5. Prepaid Insurance Cash Purchased prepaid asset 6. Supplies Accounts Payable Purchased prepaid asset 7. Phone Expense Cash Paid phone bill 8. Wages Expense Cash Paid wages for month 9. Accounts Payable Cash Made payment on account Adjusting Entries: 10. Supplies Expense Supplies 11. Wages Expense Wages Payable 12. Depreciation ExpenseOffice Equipment Accumulated DepreciationOffice EquipmentName a source document that provides information about each of the following types of business transactions: a. Cash payment b. Cash receipt c. Sale of goods or services d. Purchase of goods or servicesWhat does a debit balance in the cash short and over account represent? What does a credit balance in this account represent?
