1 Received on July 27, 2020 the electrical bill for $3,100. The bill will be paid on August 2. What accounts to increase (decrease) on July 27th?

Select one:

a. Increase Electrical Bill; decrease Cash

b. Increase Electrical Expense; increase Accounts Payable

2 On July 10, 2020 Lily Accounting firm accepted a $5,000 deposit from a client for tax work to be completed in August. What is correct journal entry?

Select one:

a. debit Cash; credit Unearned Revenue

b. debit Cash; credit Revenue

c. debit Cash; credit Accounts Payable

d. debit Cash; credit Equity

e. debit Unearned Revenue; credit Revenue

c. Increase Bill; decrease Cash

d. Increase Electrical Expense; decrease Accounts Payable

e. Increase Electrical Bill; increase Cash

3Accounting is an information and measurement system that:

Select one:

a. All of these answers are correct.

b. Records economic activities.

c. Communicates economic information.

d. Identifies and records economic activities.

e. Identifies economic activities.

4 What is the effect of the following transaction?

Omar, the owner, signed a $5,100 contract to do yard work beginning next month for Rio Degirio. The customer, Rio Degirio, will pay once the job is done.

Select one:

a. increase Cash; increase Capital

b. increase Cash; increase Equity

c. increase Cash; increase Owners Capital

d. no journal entry required

e. increase Cash; increase Revenue