Author Question: A court judgment was rendered against a county in which they were ordered to pay 500,000 in equal ... (Read 64 times)

ereecah · **on:** Jul 5, 2018

A court judgment was rendered against a county in which they were ordered to pay 500,000 in equal installments over a five-year period to the plaintiff. The county's General Fund will

A. Report a fund liability of 500,000 in Year 1.
B. Report expenditures of 500,000 in Year 1.
C. Report expenditures of 100,000 in Year 1.
D. Report expenditures of 100,000 in Year 1 and a fund liability of 400,000.

Question 2

March 10 Accounts Payable 800 Cash 800 Paid creditors on account. What effects does this journal entry have on the accounts?
a. decrease Accounts Payable, increase Cash
b. increase Cash, decrease Accounts Payable
c. increase Accounts Payable, increase Cash
d. decrease Accounts Payable, decrease Cash