Which of the Following Entries Would Be Recorded by a Company

question 197

Multiple Choice

Which of the following entries would be recorded by a company that uses the cash basis method of accounting?

• A) \[\begin{array} { | c | r | r | }
• \hline \text { Cash } & 1,000 & \\
• \hline \text { Accounts Receivable } & & 1,000 \\
• \hline
• \end{array}\]
• B) \[\begin{array} { | c | r | r | }
• \hline \text { Salaries Expense } & 1,000 & \\
• \hline \text { Salaries Payable } & & 1,000 \\
• \hline
• \end{array}\]
• C) \[\begin{array} { | c | r | r | }
• \hline \text { Prepaid Rent } & 1,000 & \\
• \hline \text { Cash } & & 1,000 \\
• \hline
• \end{array}\]
• D) \[\begin{array} { | c | r | r | }
• \hline \text { Rent Expense } & 1,000 & \\
• \hline \text { Cash } & & 1,000 \\
• \hline
• \end{array}\]

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Definitions:

Episodic Memory

A type of long-term memory that involves recollecting specific events, situations, and experiences.

Procedural Memory

A type of long-term memory for how to perform different actions and skills, essentially the memory of how to do things.

Hippocampus

A region of the brain involved in the formation of new memories and is associated with learning and emotions.

Working Memory

A cognitive system responsible for temporarily holding information available for processing and manipulation needed for complex tasks such as learning, reasoning, and comprehension.