1.ABC Company collected $3,600 in May of 2013 for 6 months of service which would take place from September of 2013through February of 2014.The revenue reported from this transaction during 2013would be:

$1,800

$2,400

$0

$3,600

2.An aging of a company's accounts receivable indicates that $3,000are estimated to be uncollectible. If Allowance for Doubtful Accounts has a $2,000 credit balance, the adjustment to record bad debts for the period will require a

credit to Allowance for Doubtful Accounts for $4,000

credit to Allowance for Doubtful Accounts for $1,000

debit to Bad Debts Expense for $5,200

debit to Bad Debts Expense for $1,000

3.XYZ Corporation purchased a one-year insurance policy in January 2013 for $30,000. The insurance policy is in effect from April 1^st, 2013 through March 31^th, 2014. If the company neglects to make the proper year-end adjustment on Dec 31, 2013 for the expired insurance:

net income and assets will be overstated by $22,500 for year 2013

net income and assets will be overstated by $25,000 for year 2013

expense and liabilities will be understated by $7,500 for year 2013

expense and liabilities will be understated by $22,500 for year 2013

4.ABC Company had beginning inventory of $15,000at March 1,2014.During the month,the company made purchases of $50,000.The inventory at the end of the month is $16,200.What is cost of goods sold for the month of March?

$67,300

$48,800

$55,000

$52,300