Sharon Foods Company Reported the Following Transactions for September 2017

question 150

Multiple Choice

Sharon Foods Company reported the following transactions for September 2017. a) The business received a $21,000 cash contribution from the owner. It was credited to Sharon, Capital.
b) The business purchased office equipment for $9,000 for which $4,000 cash was paid and the balance was put on a note payable.
c) Paid insurance expense of $1,500 cash.
d) Paid the September utility bill for $800 cash.
e) Paid $1,600 cash for September rent.
f) The business had sales of $12,000 in September. Of these sales, 40% were cash sales, and the balance was credit sales.
g) The business paid $8,000 cash for office furniture.
What are the total liabilities at the end of September, 2017?

• A) $12,000
• B) $1,500
• C) $5,000
• D) $9,000

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Definitions:

Labor Management Reporting and Disclosure Act

A U.S. federal law aimed at regulating labor unions' internal affairs and their officials' relationships with employers.

Business Representative

An individual who acts on behalf of a business, often in negotiations or as a point of contact.

Contract Negotiations

The process of discussing the terms of a contract between parties with the aim of reaching an agreement that is acceptable to all involved.

Grievances

Complaints or concerns raised by employees regarding workplace conditions, policies, or treatment that they believe to be unfair.