Question 13:

A company pays $15,000 in cash for operating expenses during the month.

Requirements:

1. Record the journal entry to recognize the payment of operating expenses.

2. Post the journal entry to the respective expense accounts in the ledger.

3. Calculate the total amount of cash paid for operating expenses.

4. Analyze how this transaction affects the company's cash flow.

5. Discuss strategies for controlling and reducing operating expenses to improve profitability.