For each of the following entries, enter the letter of the explanation that most closely describes it in the space beside each entry. (You can use letters more than once.)
A. To record receipt of unearned revenue.
B. To record this period’s earning of prior unearned revenue.
C. To record payment of an accrued expense.
D. To record receipt of an accrued revenue.
E. To record an accrued expense.
F. To record an accrued revenue.
G. To record this period’s use of a prepaid expense.
H. To record payment of a prepaid expense.
I. To record this period’s depreciation expense.
|
1. Rent Expense |
2,000 |
|
Prepaid Rent |
2,000 |
|
2. Interest Expense |
1,000 |
|
Interest Payable |
1,000 |
|
3. Depreciation Expense |
4,000 |
|
Accumulated Depreciation |
4,000 |
|
4. Unearned Professional Fees |
3,00 |
|
Professional Fees Earned |
3,000 |
|
5. Insurance Expense |
4,200 |
|
Prepaid Insurance |
4,200 |
|
6. Salaries Payable |
1,400 |
|
Cash |
1,400 |
|
7. Prepaid Rent |
4,500 |
|
Cash |
4,500 |
|
8. Salaries Expense |
6,000 |
|
Salaries Payable |
6,000 |
|
9. Interest Receivable |
5,000 |
|
Interest Revenue |
5,000 |
|
10. Cash |
9,000 |
|
Accounts Receivable (from consulting) |
9,000 |
|
11. Cash |
7,500 |
|
Unearned Professional Fees |
7,500 |
|
12. Cash |
2,000 |
|
Interest Receivable |
2,000 |