A Journal Entry for a $75 Payment for Rent Expense

question 57

Multiple Choice

A journal entry for a $75 payment for Rent expense was posted as a debit to Salary expense and a credit to Cash.This error will cause which of the following conditions on the trial balance?

• A) The sum of the credits will equal the sum of the debits.
• B) The sum of the debits will exceed the sum of the credits by $75.
• C) The sum of the debits will exceed the sum of the credits by $150.
• D) The sum of the credits will exceed the sum of the debits by $150.

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Definitions:

Antipollution Policies

Regulations and strategies implemented by governments or organizations to reduce or prevent pollution and protect the environment.

Social Costs

The total cost to society, including both private costs incurred by producers and also any costs inflicted on third parties, such as pollution.

Pollution Reduction

The process of decreasing the quantity of pollutants released into the environment, typically involving strategies and technologies to clean air, water, and soil.

Pollution Rights

Legal permits allowing companies or organizations to emit a specific amount of pollutants into the environment.