etapewa 100 Not Receive Nee Paye N ye 300 Cash Accounts Payable 300 Note Pale product is called te doy het a business and e n om . a patient da copyright 12. The jumalatry to record the payment of an interest-bearing note is 2. debit Cash credit Notes Payable debit Accounts Payable credit Cash c. debit Notes Payable and Interest Expense; credit Cash debit Notes Payable and interest Receivable; credit Cash 13. On December 31. Strike Company has decided to discard one of its batting cages. The equipment had an al cost of $10.000 and has accumulated depreciation of $260.000. Depreciation has been recorded up to the end of the year. Which of the following will be included in the entry to record the disposal? 2. Accumulated Depreciation, debit, $310,000 Loss on Disposal of Asset, debit, S260,000 c. Equipment, credit. $310,000 Gain on Disposal of Asset, credit, S50,000 14. Assuming a 360-day year, when a $50,000, 90-day, 9% interest-bearing note payable matures, the total payment will be a $51.125 . $$4.500 c. $1.125 d. $4,500 15. Accumulated Depreciation a is used to show the amount of cost expiration of intangibles b. is the same as Depreciation Expense is a contra asset account is used to show the amount of cost expiration of natural resources the social Federal DAL 15.000 Tal heres n g of the part of was to the 1596 Med and federal (3) a sco p vertinga de SUTA Payable for de SUTA Pale for $18.900 credit to SUTA Payable for $610 credit to SUTA Payable for $18.900 7. The journal entry to record the ance of a site for the purpose of would be a debit Cash credit Accounts Payable h. debit Accounts Payable: Credit Cash c. debit Cash: credit Notes Payable ddebit Accounts Payable; credit Notes Payable 18. Expenditures that add to the utility of fixed assets for more than one a committed expenditures b. revenue expenditures c. utility expenditures d. capital expenditures counting period are 19. The formula for depreciable cost is a. Initial Cost + Residual Value b. Initial Cost - Residual Value c. Initial Cost - Accumulated Depreciation d. Depreciable Cost-Initial Cost 20. Which of the following is true? a. If using the double-declining-balance method, the total amount of depreciation expense during the life of asset will be the highest. b. If using the units-of-activity method, it is possible to depreciate more than the depreciable cost. c. If using the straight-line method, the amount of depreciation expense during the first year is higher the the double-declining-balance. d. Regardless of the depreciation method, the amount of total depreciation expense during the life of the will be the same. 21. Which of the following is included in the cost of constructing a building? a. insurance costs during construction b. cost of paving the parking lot C. cost of repairing vandalism damage during construction d. cost of removing the demolished building existing on the land when it was purchased
