balance 37) Prepaid Rent is an) account and has a normal A) asset; debit; B) liability, credit; C) liability: debit; D) asset; credit 38) Transactions are first recorded in a A) chart of accounts: B) trial balance; C) journal; D) ledger 39) Ranger Pool Company contributed $40,000 of cash in exchange for capital. Which of the following accounts will be credited? A) Ranger, Withdrawals; B) Cash; C) Ranger, Capital; D) Accounts Payable 40) If a company is using accrual basis accounting, when should it record revenue? A) when cash is received, even though services may be performed at a later date B) when services are performed, even though cash may be received at a later date C) before services are performed D) when cash is received, 30 days after the completion of the services E) None of the above individual