1.

The journal entry for an installment note payment includes all of the following except a

a.credit to Accounts Payable.

b.debit to Interest Expense.

c.credit to Cash.

d.debit to Notes Payable.

2.

Little Company provides its employees with varying amounts of vacation per year, depending on the length of employment. The estimated amount of the current years vacation cost to be paid in the following year is $171,600. The entry to journalize the adjusting entry required on December 31, the end of the current year, for the accrued vacation pay includes a

a.debit to Vacation Pay Payable for $85,800.

b.debit to Vacation Pay Expense for $171,600.

c.credit to Cash for $171,600.

d.credit to Vacation Pay Payable for $14,300.

3.

Which of the following is not considered a quick asset?

a.Temporary Investments

b.Inventory

c.Cash

d.Accounts Receivable

4.

Employees weekly gross earnings were $5,500, and their federal income tax withholding was $1,115.50. Assuming the social security rate is 6.0% and the Medicare tax rate is 1.5%, what is the net amount to be paid to employees?

a.$4,384.50

b.$4,302.00

c.$3,972.00

d.$4,054.50

5.

Little Company provides its employees with varying amounts of vacation per year, depending on the length of employment. The estimated amount of the current years vacation cost to be paid in the following year is $171,600. The entry to journalize the adjusting entry required on December 31, the end of the current year, for the accrued vacation pay includes a

a.debit to Vacation Pay Payable for $85,800.

b.debit to Vacation Pay Expense for $171,600.

c.credit to Cash for $171,600.

d.credit to Vacation Pay Payable for $14,300.

6.

On January 8, Cargo Co. issued a $98,000, 6%, 120-day note payable to Roadside Co. Using a 360-day year, what is the maturity value of the note?

a.$103,880

b.$98,000

c.$105,880

d.$99,960