76 Adjusting entries: (A) Affect only income statement accounts (B) Affect only balance sheet accounts (C) Affect both income statement and balance sheet accounts (D) Always effects the Cash account (E) Affect only equity accounts Due to an oversight, a company made no adjusting entry for accrued and unpaid employee wages of $24,000 on December 31, the Company's year end. This oversight would: (A) Understate net income by $24,000 (B) Overstate net income by $24,000 (C) Have no effect on net income (D) Overstate assets by $24,000 (E) Understate assets by $24,000 The following transactions occurred during July: Received $900 cash for services provided to a customer during July. Received $2,200 cash investment from Barbara Hanson, the owner of the business. Received $750 from a customer in partial payment of his account receivable which arose from sales in June. Provided services to a customer on credit, $375 Borrowed $6,000 from the bank by signing a promissory note. Received $1,250 cash from a customer for services to be rendered next year. (B) What was the amount of REVENUE for July? (A) $900 $1,275 (C) $2,525 $3,275 (E) $11,100 (D) Get-The-Best Car Dealership signs a contract for the purchase of a vehicle in the amount of $24,000 to be delivered in four to six weeks. The buyer gives the Dealership a check for $2,000 as a deposit. The proper journal entry to record this transaction? (A) AR 22.000 Sales 22.000 (B) AR Cash Sales 22.000 2,000 24,000 (C) Cash Unearned Sales Revenue 2.000 2,000 (D) A/R Cash Uneamed Sales Revenue 22.000 2.000 24,000 2000 (E) Cash Sales 2000 On April 30, Holden Company had an Accounts Receivable balance of $18,000. During the month of May, total credits to Accounts Receivable were $52,000 from customer payments. The May 31 Accounts Receivable balance was $13,000. What was the amount of credit sales for the month of May? $5,000 $47,000 $52,000 $57,000 $32,000