Question : 53.The Warner Company issued common stock for $500,000 cash. Which : 1254377

53.The Warner Company issued common stock for $500,000 cash. Which of the following shows the proper entry using T-accounts?   

A. 

B. 

C. 

D. 

54.Fenwick Company recorded $500 of accrued salaries expense. Which of the following shows the proper entry using T-accounts?   

A. 

B. 

C. 

D. 

55.Bates Corporation recorded the adjusting entry to recognize $4,000 of revenue previously recorded as unearned. Which of the following shows the proper entry using T-accounts?   

A. 

B. 

C. 

D. 

56.The information in the following T-accounts indicates that     

A. the company repaid a $850 debt.

B. the company loaned $850 to another company.

C. the company borrowed $850.

D. stockholders invested $850 cash in the corporation.

57.Haskins Company recorded a business event in these T-accounts:  Which of the following choices accurately reflects how this event would affect the company’s financial statements?     

A. Option A

B. Option B

C. Option C

D. Option D

58.On August 1, 2013, Jonas and Associates collected $18,000 in advance for legal services to be rendered for one year. Which of the following entries reflect the end of the year adjustment to reflect revenue earned?   

A. 

B. 

C. 

D. 

59.The employees of Acorn Company have worked the last two weeks of 2013, but the employees’ wages have not been paid or recorded as of December 31, 2013. The adjusting entry that Acorn should make for these unpaid wages on December 31, 2013 is:   

A. debit to Wages Expense and credit to Wages Payable.

B. debit to Wages Expense and credit to Cash.

C. debit to Wages Payable and credit to Wages Expense.

D. no entry is required until the employee is paid next period.

60.On October 1, 2013, Siegel Company recorded a journal entry debiting prepaid rent and crediting cash for $1,200 in payment for one year of office rent. At December 31, 2013, the financial statements should report:     

A. Option A

B. Option B

C. Option C

D. Option D

61.During a company’s first year, the asset account, Office Supplies, was debited for $2,300 for the purchases of supplies. At year end, office supplies on hand were counted and determined to be $825. The proper adjusting entry crediting supplies will   

A. increase liabilities and decrease assets by $1,475.

B. decrease assets and increase expenses by $825.

C. increase expenses and decrease assets by $1,475.

D. have no effect on net income or the accounting equation.

62.Adjusting entries are made at the end of the period because of the need to   

A. adjust the balance in the cash account for the effects of all daily transactions with customers and creditors.

B. assure that all revenues and expenses are recognized in the period in which they are earned or incurred.

C. assure that debits are equal to credits prior to preparing the trial balance.

D. prepare revenue and expense accounts for recording transactions in the next accounting period by bringing the balances to zero.