Analyze timing of revenue recognition. (LO 1, 2, 3)

For each of the following transactions, tell whether or not the original transaction as shown is one that results in the recognition of revenue or expenses.

a. On April 15, Mike's Pressure Cleaning Services Inc. paid its employees \(\$ 3,000\) in salaries for services provided.

b. Mister Hsieh Fencing Company used \(\$ 1,000\) worth of radio advertising during April. Mister received the bill but will not pay it until sometime in May.

c. During 2007, Tootie's Pet Training School Inc. earned \(\$ 125,000\) in service revenues. Assume all services were offered on account.

d. Susan's Investment Company collected \(\$ 130,000\) in interest and investment income earned during 2008.