1.

Office equipment was purchased on December 1, 2004, for $3,000 and has an estimated useful life of five years and no residual value. The adjusting entry required at the end of December, 2004 includes a:

		Debit to Accumulated Depreciation: Office Equipment for $50.
		Credit to Accumulated Depreciation: Office Equipment for $600.
		Credit to Office Equipment for $600.
		Debit to Depreciation Expense for $50.
		none of the above.

2.

Office equipment was purchased on December 1, 2004, for $3,000 and has an estimated useful life of five years and no residual value. The adjusting entry required at the end of December, 2004 includes a:

		Debit to Accumulated Depreciation: Office Equipment for $50.
		Credit to Accumulated Depreciation: Office Equipment for $600.
		Credit to Office Equipment for $600.
		Debit to Depreciation Expense for $50.
		none of the above.

3.

Office equipment was purchased on December 1, 2004, for $3,000 and has an estimated useful life of five years and no residual value. The adjusting entry required at the end of December, 2004 includes a:

		Debit to Accumulated Depreciation: Office Equipment for $50.
		Credit to Accumulated Depreciation: Office Equipment for $600.
		Credit to Office Equipment for $600.
		Debit to Depreciation Expense for $50.
		none of the above.

4.

Before any year-end adjustments were made, the net income of Jim Company was $39,400. However, the following adjustments were necessary: services performed for clients but not yet recorded or collected, $1,300; interest accrued on note payable to bank, $300. After recording these adjustments the net income would be:

		$37,800
		$38,400
		$40,400
		$41,000
		none of the above.