1.R. Sparks withdrew from his business $300. The business would record this transaction:

Debit Cash $300, Credit Withdrawals $300

Debit Withdrawals $300, Credit Cash $300

Debit Withdrawals expense $300, Credit Cash $300

Debit Cash $300, Credit Accounts Payable $300

2.R. Sparks business received payment from customers previously billed $1,000. The business would record this transaction:

Debit Cash $1,000, Credit Accounts Receivable $1,000

Debit Cash $1,000, Credit Accounts Payable $1,000

Debit Accounts Receivable $1,000, Credit Service revenue $1,000

Debit Service revenue $1,000, Credit Cash $1,000.

3.R. Sparks business received $800 cash in advance for services to be performed next quarter. The business would record this transaction:

Debit Accounts Receivable $800, Credit Unearned Revenue $800

Debit Cash $800, Credit Earned Revenue $800

Debit Cash $800, Credit Unearned revenue $800

Debit Unearned revenue $800, Credit Cash $800

4.R. Sparks business had purchased office supplies for $1,000 and had recorded the purchase as Asset: Office Supplies. At month end, when preparing the financial statements, an inventory shows that $700 of Office Supplies is still on hand. The business would record an adjusting entry for this transaction:

Debit Office Supplies expense $700, credit Asset: Office Supplies $700

Debit Office Supplies expense $300, credit Asset: Office Supplies $300

Debit Asset: Office Supplies $700, Credit Office Supplies expense $700

Debit Asset: Office Supplies $300, Credit Office Supplies expense $700

5.R. Sparks business had purchased a one year insurance policy for $1,200. The business had recorded the cost of $1,200 to the asset: Prepaid Insurance. An adjusting entry for the one month expiration of insurance would be:

		Debit Prepaid Insurance $1,200, Credit Cash $1,200
		Debit Prepaid Insurance $1,200, Credit Insurance expense $1,200
		Debit Insurance expense $100, Credit Prepaid Insurance $100
		Debit Prepaid Insurance $100, Credit Insurance expense $100