Answer the following Multiple-Choice Questions by choosing the correct answer among the proposed ones. SHOW ALL YOUR CALCULATIONS 2. On January 1, Southwest College received $1,200,000 in Unearned Tuition Revenue from its students for the spring semester, which spans four months beginning on January 2. What amount of tuition revenue should the college recognize on January 31? A. $300,000. B. $600,000. C. $800,000. D. $900,000. E. $1,200,000. 3. PPW Co. leased a portion of its store to another company for eight months beginning on October 1, at a monthly rate of $800. This other company paid the entire $6,400 cash on October 1, which PPW Co. recorded as unearned revenue. The journal entry made by PPW Co. at year-end on December 31 would include: A. A debit to Rent Earned for $2,400. B. A credit to Unearned Rent for $2,400. C. A debit to Cash for $6,400. D. A credit to Rent Earned for $2,400. E. A debit to Unearned Rent for $4,000. 4. On May 1, Giltus Advertising Company received $1,500 from Julie Bee for advertising services to be completed April 30 of the following year. The Cash receipt was recorded as unearned fees and at year-end on December 31, $1,000 of the fees had been earned. The adjusting entry on December 31 would include: A. A debit to Unearned Fees for $500. B. A credit to Unearned Fees for $500. C. A credit to Earned Fees for $1,000. D. A debit to Earned Fees for $1,000. E. A debit to Earned Fees for $500. 5. The following items appeared on a company's December 31 work sheet for the current period. Based on the following information, what is the net income for the current period? A. $1,400. B. $1,855. C. $1,905. D. $2,060. E. $4,670. 6. Which of the following errors would cause the Balance Sheet and Statement of Owner's Equity columns of a work sheet to be out of balance? A. Entering an asset amount in the Income Statement Debit column. B. Entering a liability amount in the Income Statement Credit column. C. Entering an expense amount in the Balance Sheet and Statement of Owner's Equity Debit column. D. Entering a revenue amount in the Balance Sheet and Statement of Owner's Equity Debit column. E. Entering a liability amount in the Balance Sheet and Statement of Owner's Equity Credit column. 7. The Unadjusted Trial Balance columns of a work sheet total $84,000. The Adjustments columns contain entries for the following: 1. Office supplies used during the period, $1,200. 2. Expiration of prepaid rent, $700. 3. Accrued salaries expense, $500. 4. Depreciation expense, $800. 5. Accrued service fees receivable, $400. The Adjusted Trial Balance columns total is: A. $80,400. B. $84,000. C. $85,700. D. $85,900. E. $87,600. 8. The balances in the unadjusted columns of a work sheet will agree with: A. the balances reflected in the company's financial statements. B. the balances reflected in the company's unadjusted trial balance. C. whatever balances management has decided to report. D. the balances in the company's post-closing trial balance. E. the balances management budgeted for the accounting period. 9. J. Awn, the proprietor of Awn Services, withdrew $8,700 from the business during the current year. The entry to close the withdrawals account at the end of the year is: A. Debit J. Awn, Withdrawals $8,700; credit Cash, $8,700 B. Debit J. Awn, Capital $8,700; credit J. Awn, Withdrawals $8,700 C. Debit J. Awn, Withdrawals $8,700; credit J. Awn, Capital $8,700 D. Debit J. Awn, Capital $8,700, credit Salary Expense $8,700 E. Debit Income Summary $8,700; credit J. Awn, Capital $8,700 10. A company had revenues of $75,000 and expenses of $62,000 for the accounting period. The owner withdrew $8,000 in cash during the same period. Which of the following entries could not be a closing entry? A. Debit Income Summary $13,000; credit Owner's, Capital $13,000. B. Debit Income Summary $75,000; credit Revenues $75,000. C. Debit Revenues $75,000; credit Income Summary $75,000. D. Debit Income Summary $62,000, credit Expenses $62,000. E. Debit Owner's, Capital $8,000, credit Owner's, Withdrawals $8,000.