Random Co. had the following account balances in 2020, prior to the closing entries:

Purchases	$30,000	Sales	$45,000
Freight-out	2,500	Freight-in	2,000
Beginning inventory	10,000	Ending inventory	9,000
Purchase returns	3,000	Sales discounts	1,000
Sales returns	2,000	Unearned revenue	10,000

Assuming Random Co. uses the periodic inentory method, what was Random's cost of goods sold for 2019?

2) Mindful Corporation sells merchandise on account for $5,000 to Absent Corporation with credit terms of 3/10, n/30. Absent returns $800 of merchandise that was damaged, along with a cheque to settle the account within the discount period. What is the amount of the cheque?

1. $4,165

2. $5,000

3. $4,074

4. $4,250

Q3)

The primary difference between prepaid and accrued expenses is that prepaid expenses have

1. not been paid and accrued expenses have.

2. been incurred and accrued expenses have not.

3. not been recorded and accrued expenses have.

4. been paid and accrued expenses have no

Q4)

Griffin Inc. purchased supplies costing $4,250 and debited Supplies for the full amount. At the end of the accounting period, a physical count of supplies revealed $2,100 still on hand. The appropriate adjusting journal entry to be made at the end of the period would be

1. debit Supplies, $2,100; credit Supplies Expense, $2,100.

2. debit Supplies Expense, $2,150; credit Supplies, $2,150.

3. debit Supplies, $4,250; credit Supplies Expense, $4,250.

4. debit Supplies Expense, $2,100; credit Supplies, $2,100

Q5)

D. Debit Inc. has performed $700 of accounting services for a client but has not yet billed the client at the end of the accounting period. What adjusting entry must D. Debit prepare?

1. debit Cash and credit Unearned Revenue.

2. debit Accounts Receivable and credit Unearned Revenue.

3. debit Accounts Receivable and credit Service Revenue.

4. debit Unearned Revenue and credit Service Revenue.

Q6)

The balance in the Prepaid Rent account before adjustment at the end of the year is $12,000 and represents three months rent starting on November 1. The adjusting entry required on December 31, assuming adjusting entries have not previously been made, is

1. debit Rent Expense, $8,000; credit Prepaid Rent, $8,000.

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

3. debit Prepaid Rent, $8,000; credit Rent Expense, $8,000.

4. debit Prepaid Rent, $4,000; credit Rent Expense $4,000