Answer and Explanation:
The indication of the basic analysis and the debit credit analysis is as follows;
Date Basic Analysis Debit - Credit Analysis
Aug. 1 The asset Cash is increased; Debits increase assets;
the stockholders' equity account Debit Cash
Common stock is increased. $10,880
Credits increase stockholders' equity
Credit Common stock
$10,880
Aug. 4 The asset Prepaid Insurance Debits increase assets;
is increased; Debit Prepaid Insurance
the asset Cash is decreased. $ 1,500
Credits decrease assets;
Credit Cash
$ 1,500
Aug. 16 The asset Cash is increased; Debits increase assets;
the revenue Service revenue Debit Cash
is increased. $880
Credits increase revenues:
Credit Service revenue
$880
Aug. 27 The expense Salaries expense Debits increase expenses:
is increased; Debit Salaries expense
the asset Cash is decreased. $680.
Credits decrease assets:
Credit Cash
$680
Answer:
C)Two.
Paying employees' salaries for the current month
Receiving but not paying a current utility bill.
Explanation:
When salaries are played to employees, an entry is recorded in Salary Expense account.
In accrual accounting when utility bill is received it is recognised in the books even when payment has not been made. Because it is a current utility bill it has to be recorded in this period.
Answer:
Please find the question and its complete solution in the attached file.
Explanation:
Answer:
the trucking company recorded<em> a</em><em> </em><em>loss on disposal of $152,200 </em>when it sold the fleet of trucks.
Explanation:
Open the Truck Disposal T-Account as Follows:
Debits :
Cost $1,496,000
Totals $1,496,000
Credits:
Cash Receipt $56,800
Accumulated Depreciation $1,287,000
Profit and Loss (Balancing figure) $152,200
Totals $1,496,000
<em>Therefore, there was a loss on disposal of $152,200</em>
