Nelson Company Began Operations on December 1, Year 1

question 87

Multiple Choice

Nelson Company began operations on December 1, Year 1. The following transactions and adjustments were recorded in December and posted to the company's ledger accounts:1) Acquired $9,000 cash from the issue of common stock to its stockholders.2) Provided services on account for $7,500.3) Paid $4,500 cash for land.4) Owed $3,000 of salaries expenses to employees for work done in December that will be paid during January.5) Purchased $900 of supplies on account to be used in January.6) Collected $3,900 from customers. What is the total of the debit account balances that will be reported on the company's adjusted trial balance at December 31, Year 1?

• A)$12,000
• B)$20,400
• C)$6,900
• D)$28,800

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Definitions:

Primary-Process Thought

A mode of thinking primarily associated with the unconscious mind, characterized by the free and associative nature of thought, driven by basic drives and unconscious desires.

Ego

In psychoanalytic theory, the part of the personality that mediates between the demands of the id, the realities of the external world, and the moral standards of the superego.

Primary Motivation

The fundamental drives or needs that initiate and guide behavioral or psychological processes.

Ego-Ideal

A component of the personality in psychoanalytic theory that represents an individual's ideal self and standards.