Author Question: Accompanying the bank statement was a debit memo for bank service charges. What entry is required in ... (Read 126 times)

xroflmao · **on:** Jul 5, 2018

Accompanying the bank statement was a debit memo for bank service charges. What entry is required in thecompany's accounts?
a. debit Miscellaneous Administrative Expense; credit Cash
b. debit Cash; credit Other Income
c. debit Cash; credit Accounts Payable
d. debit Accounts Payable; credit Cash

Question 2

Ace Electronics accepted a promissory note from Fenstermaker, who promised to pay Ace 2,000 plus 6 interest at the end of six months. What is the amount of interest that will be paid at the end of the six-month period?

A) 120
B) 240
C) 60
D) 2,060