1. A company receives a 10%, 60-day note for $2,400. The total interest due upon the maturity date is: A. $37.50 B. $40.00 C. $60.00 D. $240 E. $87.50

5. Khaleds company needs to replenish a $500 petty cash fund. Its petty cash box has $70 cash and petty cash receipts of $420. The journal entry to replenish the fund includes:

1. A debit to Cash for $70.
2. A credit to Cash for $70.
3. A debit to Cash Over and Short for $10
4. A credit to Cash Over and Short for $10.
5. A credit to Petty Cash for $420

6. A machine that originally had an estimated useful life of 8 years, but after 3 complete years, it was decided that the original estimate of useful life should have been 10 years. At that point the remaining cost to be depreciated should be allocated over the remaining: A. 2 years B. 5 years C. 7 years D. 12 years E. 10 years

7. Which of the following is an Amortization: A. Is the systematic allocation of the cost of an intangible asset to expense over its estimated useful life B. Is the process of allocating to expense the cost of a plant asset to the accounting periods benefiting from its use C. Is the process of allocating the cost of natural resources to periods when they are consumed D. Is an accelerated form of expensing an asset's cost