Question 1:

The following information relates to Saxa Company's operations:

• Saxa Company collected $10,000 cash from customers in March for sales that occurred in February.
• Saxa Company sold $2,500 of goods in March. Saxa collected $1,200 in cash from these sales in March and $1,300 in April.
• Saxa Company sold a one-year service contract to a customer for $9,000 cash on March 1. The service contract starts on March 1.
• On March 1, Saxa Company signed a six-month contract with a customer to provide $6,000 of services beginning May 1. The customer paid half of the contract amount on this date.

A.What is Saxa Co.'s March revenue using a cash-basis accounting system?

AND

B. What is Saxa Co.'s March revenue using an accrual-basis accounting system?

The answer is $23,200 and $3,250. But I don't really understand. Could you please explain why? Thank you!

Question 2:

Russell Company completed the following transaction(s) during 2015. No adjusting journal entries were made during the year. Provide the adjusting journal entries required on December 31, 2015.

A- On December 31, 2015 a tenant renting some storage space from Russell Company had not paid the rent of $750 for December 2015.

The answer is "Debit Accounts Receivable for $750, and Credit Rent Revenue for $750", could you explain why?

B- On December 1, 2015, Russell Company rented some office space to another party. Russell Company collected $900 rent for the period December 1, 2015 to March 1, 2016.

The answer is "Debit Unearned Revenue for $300, and Credit Revenue for $300", could you explain why? Thank you!

Question 3:

Shown below are accounts and their balances in alphabetical order (after adjusting entries have been posted) for Kline Inc. on December 31, 2015. Account Title Amount ($) Accounts Payable 4,200 Accounts Receivable 2,200 Cash 1,200 Contributed Capital 2,700 Depreciation Expense 500 Interest Expense 2,300 Equipment (net of accumulated depreciation = $500) 24,500 Office Supplies 1,750 Office Supply Expense 600 Rent Expense 2,400 Retained Earnings (as of 1/1/2015) Revenue 18,000 Salary Expense 6,900 Telephone Expense 250 Unearned Revenue 400 Assume Kline Inc. declared and paid dividends of $750 during 2015 and that the retained earnings on December 31, 2015 were $22,350. What was the retained earnings balance on January 1, 2015