Answer the three questions

1.

2.

3. Barber Company purchased a case of copy paper. Because the expenditure was so small, the bookkeeper expensed the purchase as opposed to recording it in the Supplies account. This is an example of which principle, constraint, assumption or enhancing quality?

a) The Monetary Unit Assumption

b) Materiality

c)The Historical Cost Principle.

d)Conservatism.

Peterson Company had the following journal entry: Debit Credit Accounts Receivable $20,000 Service Revenue $20,000 From this entry, we can determine that Peterson: Owed $20,000 for services received O Paid off $20,000 that they previously owed. Received $20,000 of cash that was previously due to them. O is due (owed) $20,000 for services performed Question 20 Question 27 3 pts Dirkman Property Management received a check for $27,000 on July 1 which represented a six-month advance payment on a building it rents to a client. Unearned Rent Revenue was credited for the full $27,000. Financial statements will be prepared on July 31. Dirkman should make the following adjusting entry on July 31: Debit Rent Revenue, $4,500. Credit Untamed Rent Revenue, $4,500 O Debit Uneamed Rent Revenue. $27.000 Credit Rant Revenue, $24,000, O Debit Cash, 527,000 Credit Rent Revenue, $27.000 Debit Uneamed Rent Revenue, $4,500 Credit Rent Revenue, $4,500