NEED ANSWERS ASAP Question 29 Pixies Inc. pays its rent of $54,000 annually on J

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NEED ANSWERS ASAP

Question 29

Pixies Inc. pays its rent of $54,000 annually on January 1. If the February 28 monthly adjusting entry for prepaid rent is omitted, which of the following will be true?

Failure to make the adjustment does not affect the February financial statements.

Expenses will be overstated by $4,500 and net income and stockholders' equity will be understated by $4,500.

Assets will be overstated by $9,000 and net income and stockholders' equity will be understated by $9,000.

Assets will be overstated by $4,500 and net income and stockholders' equity will be overstated by $4,500.

3 points

Question 30

Southeastern Louisiana University sold season tickets for the current year football season for $160,000. A total of 8 games will be played during September, October and November. In September, three games were played. The adjusting journal entry at September 30

will include a debit to Ticket Revenue and a credit to Unearned Ticket Revenue for $53,333.

will include a debit to Unearned Ticket Revenue and a credit to Ticket Revenue for $60,000.

will include a debit to Cash and a credit to Ticket Revenue for $40,000.

is not required. No adjusting entries will be made until the end of the season in November.

3 points

Question 31

At March 1, Minutemen Corp. had supplies on hand of $500. During the month, Minutemen purchased supplies of $1,200 and used supplies of $1,500. The March 31 adjusting journal entry should include a

debit to the supplies account for $1,500.

credit to the supplies account for $500.

debit to the supplies account for $1,200.

credit to the supplies account for $1,500.

3 points

Question 32

Clark Real Estate signed a four-month note payable in the amount of $8,000 on September 1. The note requires interest at an annual rate of 9%. The amount of interest to be accrued at the end of September is

$80.

$240.

$60.

$720.

3 points

Question 33

Sebastian Belle has performed $2,000 of CPA services for a client but has not billed the client as of the end of the accounting period. What adjusting entry must Sebastian make?

Debit Cash and credit Unearned Service Revenue

Debit Accounts Receivable and credit Unearned Service Revenue

Debit Accounts Receivable and credit Service Revenue

Debit Unearned Service Revenue and credit Service Revenue

3 points

Question 34

Trent Tables paid employee wages on and through Friday, January 26, and the next payroll will be paid in February. There are three more working days in January (29–31). Employees work 5 days a week and the company pays $900 a day in wages. What will be the adjusting entry to accrue wages expense at the end of January?

No adjusting entry is required.

Salaries and Wages Expense

4,500

Salaries and Wages Payable

4,500

Salaries and Wages Expense

900

Salaries and Wages Payable

900

Salaries and Wages Expense

2,700

Salaries and Wages Payable

2,700

Failure to make the adjustment does not affect the February financial statements.

Expenses will be overstated by $4,500 and net income and stockholders' equity will be understated by $4,500.

Assets will be overstated by $9,000 and net income and stockholders' equity will be understated by $9,000.

Assets will be overstated by $4,500 and net income and stockholders' equity will be overstated by $4,500.

Explanation / Answer

Solution:

Question 29

The answer to the above question is –

Expenses will be overstated by $ 4,500 and net income and stockholders’ equity will be understated by $ 4,500

Question 32

The answer to the above question is –

Amount of interest – 9% * 8,000 * 1/12 = $ 60

Question 33

The answer to the above question is –

Debit Accounts receivables and credit service revenue

Question 34

The answer to the above question is –

Salaries and Wages Expense     2,700

Salaries and wages payable           2,700

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