Intermediate Accounting, 10 Ed
10th Edition
ISBN: 9781260310177
Author: Mark W. Nelson, Wayne B. Thomas J. David Spiceland
Publisher: McGraw-Hill Education
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Chapter 2, Problem 2.6E
Debits and credits
• LO2–2
Indicate whether a debit will increase (I) or decrease (D) each of the following accounts listed in items 1 through 15
| Increase (I) or Decrease (D) | Account |
| 1. _____ | Inventory |
| 2. _____ | Depreciation expense |
| 3. _____ | Accounts payable |
| 4. _____ | Prepaid rent |
| 5. _____ | Sales revenue |
| 6. _____ | Common stock |
| 7. _____ | Salaries and wages payable |
| 8. _____ | Cost of goods sold |
| 9. _____ | Utility expense |
| 10. _____ | Equipment |
| 11. _____ | |
| 12. _____ | Utilities payable |
| 13. _____ | Rent expense |
| 14. _____ | Interest expense |
| 15. _____ | Interest revenue |
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Question 10 of 18
Which of the following increases the reported receivables in the financial statements?
Select the correct response:
a credit balance in an account payable
offsetting a credit balance in an account receivable
O adjustment to eliminate a debit balance in account payable
a credit balance in an allowance account
< Previous
question
General ledger Debit Credit Balance
01.11.20 50,000
31.12.20 Rental Revenue 6000 56,000
31.12.20 Rental Revenue 1800 57,800
01.01.21 Rental Revenue 6,000 51,800
Kindly show me the T Accounts for the above general ledger.
9 of 40
A journal entry to recognize revenue must include a
Odebit to Accounts Payable
credit to an expense account
credit to Cash
credit to a revenue account
Chapter 2 Solutions
Intermediate Accounting, 10 Ed
Ch. 2 - Explain the difference between external events and...Ch. 2 - Each economic event or transaction will have a...Ch. 2 - What is the purpose of a journal? What is the...Ch. 2 - Explain the difference between permanent accounts...Ch. 2 - Describe how debits and credits affect assets,...Ch. 2 - Describe how debits and credits affect temporary...Ch. 2 - What is the first step in the accounting...Ch. 2 - Prob. 2.8QCh. 2 - Prob. 2.9QCh. 2 - Prob. 2.10Q
Ch. 2 - What is an unadjusted trial balance? An adjusted...Ch. 2 - Define adjusting entries and discuss their...Ch. 2 - Define closing entries and their purpose.Ch. 2 - Define prepaid expenses and provide at least two...Ch. 2 - Deferred revenues represent liabilities recorded...Ch. 2 - Define accrued liabilities. What adjusting journal...Ch. 2 - Prob. 2.17QCh. 2 - [Based on Appendix A] What is the purpose of a...Ch. 2 - [Based on Appendix B] Define reversing entries and...Ch. 2 - [Based on Appendix C] What is the purpose of...Ch. 2 - Prob. 2.21QCh. 2 - Transaction analysis LO21 The Marchetti Soup...Ch. 2 - Journal entries LO22 Prepare journal entries for...Ch. 2 - Prob. 2.3BECh. 2 - Journal entries LO22 Prepare journal entries for...Ch. 2 - Adjusting entries LO25 Prepare the necessary...Ch. 2 - Adjusting entries; income determination LO24,...Ch. 2 - Prob. 2.12BECh. 2 - Journal entries LO22 Prepare journal entries to...Ch. 2 - T-accounts and trial balance LO23 Post the...Ch. 2 - Prob. 2.5ECh. 2 - Debits and credits LO22 Indicate whether a debit...Ch. 2 - Prob. 2.7ECh. 2 - Prob. 2.8ECh. 2 - Reversing entries Appendix 2B The employees of...Ch. 2 - Special journals Appendix 2C The White Companys...Ch. 2 - Prob. 2.24ECh. 2 - Prob. 2.3PCh. 2 - Prob. 2.4PCh. 2 - Prob. 2.8PCh. 2 - Prob. 2.12PCh. 2 - Judgment Case 21 Cash versus accrual accounting;...Ch. 2 - Communication Case 23 Adjusting entries LO24 I...Ch. 2 - Prob. 2.1DA
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