Question 1.)

The balance in the prepaid rent account before adjustment at the end of the year is $15,000, which represents five months' rent paid on December 1. The adjusting entry required on December 31 is

debit Rent Expense, $3,000; credit Prepaid Rent, $3,000

debit Rent Expense, $12,000; credit Prepaid Rent, $12,000

debit Rent Expense, $5,000; credit Prepaid Rent, $5,000

debit Rent Expense, $5,000; credit Prepaid Rent, $5,000: incorrect.

debit Prepaid Rent, $10,000; credit Rent Expense, $5,000

Question 12.)

The closing entry to zero out all of the revenue accounts would requires

debits and credits to the revenue accounts

debits and credits to the revenue accounts: Incorrect.

credits to all revenue accounts for an amount equal to the existing year-end balance

debits to all revenue accounts for an amount equal to the existing year-end balance

none of the above

Question 13.)

The closing entry to zero out all of the expense accounts requires

credits to all expense accounts for an amount equal to the existing year-end balance

debits and credits to the expense accounts

debits and credits to the expense accounts: Incorrect.

debits to all expense accounts for an amount equal to the existing year-end balance

none of the above

Question 18.)

The following accounts were taken from the Adjusted Trial Balance columns of the work sheet:

Land	$ 62,400
Service Revenue	77,000
Rent Expense	1,000
Insurance Expense	500
Prepaid Insurance	4,500
Supplies	1,200
Equipment	7,000
Accumulated Depr.	(1,000)

Total PLANT Assets are:

$73,500

span style="font-size: 12pt; font-family: quot;Times New Romanquot;; color: #000000;"span style="font-size: 12pt;"$73,500/span/span: incorrect.

$74,000

$84,300

$68,400

Question 19.)

Accumulated Depreciation appears on the

balance sheet in the long-term liabilities section

balance sheet in the long-term liabilities section: Incorrect.

income statement as an operating expense

balance sheet in the fixed assets section

balance sheet in the current assets section

Question 22.)

The receipt of an advance payment from a customer should be recorded as

Unearned Revenue

Accounts Receivable

Accounts Payable

Service Revenue: Incorrect.

Question 25.)

Assume a company receives a bill for $8,000 for advertising done in the current year. If the bill is not yet recorded at the end of the year, what should the adjusting entry include?

a credit to Advertising Expense for $8,000

a debit to Accounts Payable for $8,000: Incorrect.

a debit to Advertising Expense for $8,000

more information about the transaction is needed