QUESTION 12 Which of the following statements is true? Under accrual basis accounting, companies recognize wage expense in the period when employees provide services to the business rather than when the employees are paid b. Under accrual basis accounting a business records supplies expense in the period when it pays for the supplies c. Under accrual basis accounting, companies recognize revenues when they collect cash from customers. d. Under accrual basis accounting, a business records rent expense in the period that it pays its landlord, QUESTION 13 Which of the following are revenue accounts? Accounts Receivable Uneamed Revenue a. Both Accounts Receivable and Unearned Revenue b. Uneamed Revenue only c. Accounts Receivable only d. Neither Accounts Receivable nor Uneared Revenue QUESTION 14 Which of the following statements is true? a. The primary difference between the cash and accrual basis methods of accounting concerns the amount of revenue that a business records from a particular sale. Ob. Under cash basis accounting, a business records rent expense in the period that it uses leased space even when the business pays cash to the landlord in a different period c. Under cash basis accounting, companies recognize revenues when they collect cash from customers. d. Generally Accepted Accounting Principles (GAAP) require the use of cash basis accounting, QUESTION 15 Which of the following statements is true? a. Businesses usually record adjusting entries every day b. Every adjusting entry affects net income c. Every adjusting entry changes the balance of accounts payable. d. Companies use adjusting entries to record purchases on account