Use This Information to Answer the Following Question If the Estimated Depreciation for Office Equipment Were $200,the Adjusting

question 27

Multiple Choice

Use this information to answer the following question. The trial balance for Tsung Corporation appears as follows:
$\begin{array}{c}\text {Tsung Corporation}\\\text {Trial Balance}\\\text {December 31, 2010}\\\begin{array}{|l|r|r|}\hline\text { Cash } & \$ 200 \\\text { Accounts Receivable } & 500 \\\text { Prepaid Insurance } & 50 \\\text { Supplies } & 150 \\\text { Office Equipment } & 400\\\text { Accumulated Depreciation-Office Equipment } & & \$ 200 \\\text { Accounts Payable } & & 300 \\\text { Common Stock } & &600 \\\text { Service Revenue Earned } & & 500\\\text { Salaries Expense } &100 \\\text { Rent Expense } & 200 & \\&\underline{\$ 1,600} &\underline{\$ 1,600} \\\hline\end{array}\end{array}$
If the estimated depreciation for office equipment were $200,the adjusting entry would contain a

• A) debit to Accumulated Depreciation, Office Equipment for $200.
• B) credit to Office Equipment for $200.
• C) credit to Accumulated Depreciation, Office Equipment for $200.
• D) credit to Depreciation Expense, Office Equipment for $200.

Distinguish between various payment methods used across diverse occupations, including commission and bonuses.

Comprehend the principles behind effective financial incentive plans and their impact on employee motivation.

Understand the influence of managerial theories (Theory X, Theory Y, Theory Z) on leadership styles and organizational practices.

Grasp the strategies for motivating employees beyond financial incentives, focusing on intrinsic rewards and job design.

---

Definitions:

COGS/Sales

COGS/Sales is a financial ratio that measures the cost of goods sold against the total sales revenue, often used to assess the efficiency of production.

Taxes/Sales

A ratio that shows the proportion of taxes paid relative to total sales revenue, often used in financial analysis.

Highly Levered Firm

A company that has more debt than equity, indicating it uses significant leverage in its capital structure.

Return on Assets

A profitability ratio indicating the efficiency with which a company uses its assets to generate earnings, calculated as net income divided by total assets.