1. Which is not debited or credited in an adjusting entry?

A) Cash

B) Revenue.

2. On September 1st, Erin received $5,000 cash to perform services later in September. However, the work could not be done until October 15th. On which income statement should the revenue appear?

A. Octobers's income statement

B. Septembers's income statement

C. November's income statement

D. none of these

3. Erin's company purchased equipment on Feburary 1st for $12,000. Depreciation was recorded on Feburary 28th in the amount of $500. The book value of the equipment on Feburary 28th would be:

A) $11,500

B) $12,000

C) $13,000

D) $12,500