Unit 3 Test.docx - Unit 3 test corrected Question 1 5 out...

This preview shows page 1 - 3 out of 8 pages.

Unit 3 test - corrected Question 1 5 out of 5 points On September 1, 2018, Real Estate Professionals Company paid $5,000 in advance for an eight-month rental space covering the period of September 1, 2018 through April 30, 2019. The deferred expense was initially recorded as an asset. The company makes adjusting entries once a year at year-end. The adjusting entry on December 31, 2018 would include a __________.
Question 2 5 out of 5 points Jupiter Company signed a one-year $36,000 note payable at 8% interest on March 1, 2019. How much interest expense must be accrued on May 31, 2019? (Round any intermediate calculations to two decimal places, and your final answer to the nearest whole number.)
Question 3 5 out of 5 points Hudson Landscaping Service bought equipment for $10,800 on January 1, 2019. It has an estimated useful life of five years and zero residual value.
Unit 3 test - corrected Hudson uses the straight-line method to calculate depreciation and records depreciation expense in the books at the end of every month. As of June 30, 2019, the book value of this equipment shown on its balance sheet will be __________.
Question 4 5 out of 5 points ABC Tax Planning Service started business in January 2018. The company rented an office for $1,800 per month starting from January 1, 2018. On that day, ABC prepaid the rent through June 30. The company makes adjusting entries at the end of each month. What is the balance in the Prepaid Rent account as of April 30, 2018?

  • Left Quote Icon

    Student Picture

  • Left Quote Icon

    Student Picture

  • Left Quote Icon

    Student Picture