1 ) Comapny purchases a three-year insurance policy for $3000.00. At the end of the first year, Blue Talon adjusts insurance expense by crediting

A. An asset account,

B. a retained earnings account,

C. a liability account,

D. Both B and C

E. none of the above

2)

Whitestone Company collected $10,000 on a credit sale. The left-hand side of the entry would be a debit to
		A. Accounts Receivable B. Accounts payable C. Cash D. Owners equity E. None of the above

3)

Yellowstone Incorporated paid salaries of $5000. The debit entry is to
		A. Retained earnings B. Cash C. Accounts payable D. Accounts Receivable E. None of the above

4)

Silverstone Incorporated purchases a two-year insurance policy for $8000 cash. Silverstone debits
		A. An asset account B. A liability account C. And owners equity account D. Both B and C E. None of the above

5)

Credit entries to the cash account increase the account, similar to your bank statement. TRUE or FALSE

6)