Answered step by step
Verified Expert Solution
Question
1 Approved Answer
6. On March 15, Armstrong Corporation performed consulting services on account for a customer. Armstrong collected $5,000 on account from that customer on April 22.
6. On March 15, Armstrong Corporation performed consulting services on account for a customer. Armstrong collected $5,000 on account from that customer on April 22. Which of the following general journal entries would be used to record the transaction that took place on April 22 ? A) Debit assets for $5,000, credit equity for $5,000. B) Debit cash for $5,000, credit consulting service revenue for $5,000. C) Debit cash for $5,000, credit accounts receivable for $5,000. D) Debit accounts receivable for $5,000, credit consulting service revenue for $5,000. E) Debit accounts receivable for $5,000, credit cash for $5,000. 7. Caroline Duffy contributed $10,000 in cash and equipment worth $3,000 to open a new business that she has incorporated. Which of the following general journal entries would be used to record this transaction? A) Debit assets for $13,000, credit common stock for $13,000. B) Debit cash for $10,000, credit common stock for $10,000. C) Debit cash and equipment for $13,000, credit common stock for $13,000. D) Debit cash for $10,000, debit equipment for $3,000, credit common stock for $13,000. E) Debit cash for $10,000, debit equipment for $3,000, credit dividends for $13,000
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started