The Following Transactions Have Been Journalized and Posted to the Proper

question 110

Essay

The following transactions have been journalized and posted to the proper accounts.
1)Mark Call invested $7,000 cash in his new design services business.
2)The business paid the first month's rent with $700 cash.
3)The business purchased equipment by paying $2,000 down and executing a note payable for $4,500.
4)The business purchased supplies for $850 cash.
5)The business billed its clients a total of $4,000 for design services rendered.
6)The business collected $3,000 on account from one of its clients.
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What is the balance in Service revenue?
A) $1,000
B) $3,000
C) $4,000
D) $3,150

• A) $1,000
• B) $3,000
• C) $4,000
• D) $3,150

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Definitions:

Reality Principle

A psychoanalytic concept where the ego seeks to satisfy the id’s desires in realistic and socially appropriate ways.

Ego

In psychoanalytic theory, the part of the personality that mediates between the demands of the id, superego, and reality.

Superego

Part of Freud's psychoanalytic theory, representing the moral component of the mind, comprising the conscience and ideal self.

Personality

A unique set of emotional, thought, and behavioral patterns that define an individual's way of interacting with the world and remain relatively consistent over time.