In the Space Below,state Whether Each Situation Is a Deferral

question 144

Essay

In the space below,state whether each situation is a deferral or an accrual.
______a.Depreciation on machinery is $7,200 for the accounting period.
______b.Interest that has been incurred on a loan but that has not yet been paid or recorded is $675.
______c.Office supplies of $965 were on hand at the beginning of the period.Purchases of office supplies during the period totaled $640.At the end of the period,$120 in office supplies remained.
______d.Commissions amounting to $975 were earned but not yet collected by year end.
______e.Prepaid Rent had a $2,500 balance prior to adjustment.By year end,50 percent had expired.

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Definitions:

Hair Cells

Sensory cells located in the inner ear that are essential for hearing and balance.

Auditory Nerves

The auditory nerves are a set of nerves that carry sound information from the ears to the brain, enabling hearing.

Ossicles

The three small bones in the middle ear that transmit sound vibrations from the eardrum to the inner ear.

Timbre

The quality of a sound that distinguishes it from other sounds of the same pitch and volume.