Pue City College sold season tickets for the 2018 football season for $240,000. A total of 8 games will be played during September October and November in September, three games were played. The adjusting jou entry at September 30 A) will include a debit to Uncamed Ticket Revenue and a credit to Ticket Revenue for $90,000 5 15 not required. No adjusting stries will be made until the end of the season in November C will include a debit to Ticket Race and a credit to Unsamed Ticket Revenue for $80,000 D) will include a debit to Cash and a sredit to Ticket Revenue for $60,000 company purchased factory equipment on April 1. 2018 for $160.000. It is estimated that the equipment will have a $20,000 salvage value at the end of its 10-varussful life. Using the straight-line method of depreciation the amount to be recorded as depreciation expense at December 31, 2018 is A) $12,000 B) $10,500 C) $16,000 D) $14,000 16. Silk Company issued $500,000 of 29 10-year bones on its interest date for $431.850 to yield an effective annual rate of 9%. The effective interest method of amortization is to be used How much bond interest expense to the nearest dollar should be reported on the income statement for the end of the first year? A) $38,867 B) S45,000 C) $35.000 D) $30.229 17. A truck that cost $72,000 and on which 560,000 of accumulated depreciation has been recorded was disposed of for $18,000 cash. The entry to record this event would include a A) credit to Accumulated Depreciation for $60,000. B) pain of $6,000 C) loss of $6,000 D) credit to the Equipment account for $12,000. 18. In the balance sheet the account Premium on Bonds Payable is A) classified as a stockholders' equity account. B) classified as a revenue account. C) deducted from Honds Payable. D) added to Bonds Payable. 19. The Northern Corporation issues 7.000 shares of S100 par value preferred stock for cash at S120 per share. The entry to record the transaction will consist of a debit to Cash for $840,000 and a credit or credits to A) Paid-in Capital from Preferred Stock for $840,000. B) Preferred Stock for $700,000 and Retained Earnings for $140,000 C) Preferred Stock for $700,000 and Paid-in Capital in Excess of Par-Preferred Stock for $140,000 D) Preferred Stock for $840,000 20. Al March 1, 2018. Minutemen Corp. had supplies on hand of $500. During the month, Minutemen purchased supplies of S1,200 and used supplies of $1,500. The March 31 adjusting journal entry should include a A) credit to the supplies account for $1,500. B) debit to the supplies account for $1,200. C) debit to the supplies account for $1,500. D) credit to the supplies account for $500. Page 3
