Question 1

A company pays $5,800 for maintenance in the current period. Record the transaction. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.)

A company pays $5,800 for maintenance in the current period.

Transaction	General Journal	Debit	Credit
1

Question 2

Rebel Technology maintains its records using cash-basis accounting. Consider the following:

• During the year, the company received cash from customers, $50,000, and paid cash for salaries, $21,900.
• At the beginning of the year, customers owe Rebel $1,100. By the end of the year, customers owe $8,000.
• At the beginning of the year, Rebel owes salaries of $7,000. At the end of the year, Rebel owes salaries of $4,000.

Determine cash-basis net income and accrual-basis net income for the year.

Cash-basis net income
Accrual-basis net income