Compound Entries

question 115

Multiple Choice

Compound entries

• A) would include an entry to record the purchase of a computer for cash.
• B) include at least two debits or two credits.
• C) require that all credits be listed before the debits for entries affecting the statement of financial position.
• D) should be broken into their component parts and recorded as simple entries.

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Definitions:

Billable Time

Time spent on tasks or projects for which a customer or client can be billed, typically measured in hours.

Single Time Activity

An action or task that is performed once rather than regularly or repeatedly over time.

Payroll Tax Forms

Official documents used to report employment taxes withheld from employees' paychecks to governmental tax authorities.

Form 940

A tax form used in the United States to report annual Federal Unemployment Tax Act (FUTA) tax details to the Internal Revenue Service (IRS).