Automatic Fixed Monthly Payments Such as Auto Lease,insurance Premiums and Mortgage

question 19

Multiple Choice

Automatic fixed monthly payments such as auto lease,insurance premiums and mortgage -

• A)can be recorded in the account reconciliation journal or in the general journal
• B)must be recorded with a normal general journal entry
• C)should be recorded in the adjustments journal
• D)should be recorded as cash payments because they involve withdrawals from the bank account

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