Which of the Following Entries Would Record the Payment of a Utility

question 12

Multiple Choice

Which of the following entries would record the payment of a utility bill?

• A) Utilities Expense, debit; Cash, credit
• B) Cash, debit; Utilities Expense, credit
• C) Utilities Expense, debit; Accounts Payable, credit
• D) Accounts Receivable, debit; Utilities Expense, credit

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Definitions:

Burden of Proof

is the obligation to prove one's assertion or claim in a legal dispute, typically resting on the party initiating the action.

Small Business

A business that is privately owned and operated, with a small number of employees and relatively low volume of sales.

Expenses

Costs incurred by a business in the process of earning revenue, such as rent, salaries, and utilities, which are used to assess company profitability.

Revenue

The income generated from normal business operations, usually from the sale of goods and services.