1. If Accounts Payable has been debited, it is most likely that:
A. a payment was made.
B. a purchase was made on account.
C. a charge customer made a payment.
D. all of these are possible.
2. A debit to an expense account was posted to an asset account. This would cause:
A. assets to be overstated only.
B. expenses to be overstated and assets to be understated.
C. expenses to be overstated only.
D. expenses to be understated and assets to be overstated.
3. If the balance of supplies at the start of the month was $700 and at the end of the month you had $250 on hand, the adjustment for Supplies would be:
A. $450
B. $550
C. $250
D. $700
4. If the balance of supplies at the start of the month was $700 and at the end of the month you had $250 on hand, the adjustment for Supplies would be:
A. $450
B. $550
C. $250
D. $700