(this one is a question)

Hi guys, I got already answers though, I am unsure what's reasons should be these answers.

===> Number 3 and number 6

I thought Number 3 is expense recognition

and number 6 should be expense recognition. Can somebody explain the reasons, please??

Lastly, this one, I got all answers for this one too.

However, I would like to know what's the reasons for these answers.

you can give me some explanation of few questions like 1~3. Something like that.

Since I thought number 1 should not be overstated. I am not sure how should I DO this one.

Thank you for your help.

Your Answer Correct Answer (Used) For each of the transactions, indicate if revenue recognition or expense recognition concepts have been violated. If no criteria have been violated, choose Not Applicable. Transaction Violation 1. Expense Recognition 2. Revenue Recognition 3. Not Applicable 4. Expense Recognition 5. Expense Recognition 6. Not Applicable View Policies Current Attempt in Progress During a maternity leave of the full-time bookkeeper, a temporary employee was involved in the following transactions: 1. 2. 3. A payment by cheque for $480 to a repair shop for fixing a truck was debited to the Vehicles account with a credit to Cash. The accountant did not accrue interest revenue of $140 on a note receivable because the note calls for the payment of interest at the maturity of the note. A deposit of $500 from a customer for services not yet provided was debited to Cash and credited to Unearned Revenue. A payment of interest on a note payable in the amount of $40 was debited to Interest Payable and credited to Cash. No amount had been accrued for this interest. A bad debt write-off of $550, from a sale last year, was recorded as a credit to Accounts Receivable and a debit to Bad Debt Expense. The company uses the allowance method for uncollectible accounts. Cash paid for the $40 purchase of a calculator was recorded as a debit to Supplies Expense and a credit to Cash. 4. 5. 6. Indicate the impact of each error on the balance sheet and income statement by stating whether assets, liabilities, owner's equity, revenues, expenses, and profit are understated, overstated, or if there is no effect. Balance Sheet Income Statement Expenses Assets Liabilities Owner's Equity Revenue Profit Overstated No Effect Overstated No Effect Understated Overstatec Understated No Effect Understated Understated No Effect Understate Jo Effect No Effect No Effect No Effect No Effect No Effect No Effect Understated Overstated No Effect Understated Overstatec Understated No Effect Understated No Effect Overstated Understate No Effect No Effect No Effect No Effect No Effect No Effect