Question 11 When cash is received from investors in exchange for common stock, what is the effect on the company's accounts ? A Cash decreases and dividends increase. B. Cash increases and dividend increases. oc Cash decreases and common stock decreases D. Cash increases and common stock increases. ulestion 12 Which of the following accounts increases by debit? O A. Common stock B. Salaries payable c. Dividends D. Service revenue Question 13 Providing service for $5,000 cash is recorded as: $5,000 A. Accounts payable Service revenue $5,000 $5,000 OB Cash $5,000 $5,000 Service revenue Accounts receivable Service revenue Accounts payable $5,000 $5,000 Cash $5,000 Question 14 An increase to a liability account is shown with a An increase to an asset account is shown with a A Debit, Credit B. Credit, Debit oc Debit, Debit D. Credit, Credit Question 15 Below is the company's Cash T-account. Cash Beg. 1,200 7,000 3,100 End. 5.100 The $7,000 amount could represent which of the following? A. Payment for salaries B. Payment for rent c Purchase of equipment for cash DIssue of common stock for cash Question 16 8 points Save Answer The supplies account has a beginning balance of $1,000 and the company purchases additional supplies for $7,000 during the month. If the company has a remaining balance of supplies of $2,000 at the end of the period, what is the amount of supplies used during the period? A $6,000 B. 58,000 oc 57,000 D. $10,000 Question 17 8 points Save Answer Car Wash Inc. purchased car wash equipment for $50,000 cash. This transaction would be recorded as: $50,000 O A Cash $50,000 Equiment Notes payable Equiment $50,000 $50,000 $50,000 oc Equipment Cash $50,000 $50,000 OD. quipment Notes payable $50,000 Quebu 10 UI JI Question 18 8 points Save Answer Which of the following accounts would normally have a debit balance? Accounts payable, accounts receivable and notes payable Supplies expense, accounts payable and service revenue Service revenue, accounts payable and retained earnings Accounts receivables, supplies and interest expense Question 19 8 points Save Answer Purchase of supplies on account for $1,200 is recorded as: M. Accounts payable Supplies $1,200 $1,200 B. Supplies $1,200 Cash $1,200 Supplies $1,200 Accounts payable $1,200 D. Supplies $1,200 Accounts receivable $1,200 Question 20 8 points Save Answer Spine Inc. paid one year rent in advance for $12,000 cash. This transaction would be recorded as: OA. A Rent expense Accounts payable $12,000 $12,000 B. Rent expense $12,000 Cash $12,000 Prepaid rent $12,000 Cash $12,000 D. Prepaid rent $12,000 Rent expense $12,000