5. On June 1, 2008, Delbert Inc. reported a cash balance of $12,000. During June, Delbert made deposits of $3,000 and made disbursements totalling $16,000. What is the cash balance at the end of June?

a. $1,000 debit balance

b. $15,000 debit balance

c. $1,000 credit balance

d. $4,000 credit balance

6. At January 1, 2008, Burton Industries reported owners equity of $130,000. During 2008, Burton had a net income of $30,000 and owner drawings of $20,000. At December 31, 2008, the amount of owners equity is

a. $130,000.

b. $140,000.

c. $100,000.

d. $80,000.

7. Able Company pays its employees twice a month, on the 7^th and the 21^st. On June 21, Able Company paid employee salaries of $5,000. This transaction would

a. decrease net income for the month by $5,000.

b. increase owners equity by $4,000.

c. decrease the balance in Salaries Expense by $4,000.

d. be recorded by a $4,000 debit to Salaries Payable and a $4,000 credit to Salaries Expense.