Green Systems Sold and Delivered Modems to Blue Computers for $660,000

question 130

Multiple Choice

Green Systems sold and delivered modems to Blue Computers for $660,000 to be paid by Blue in three equal installments over the next three months.The journal entry made by Blue Computers to record the last of the three installment payments will include:

• A)A debit of $220,000 to Modem Expense.
• B)A debit of $220,000 to Accounts Receivable.
• C)A debit of $220,000 to Cash.
• D)A debit of $220,000 to Accounts Payable.

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Definitions:

Compa-ratio

A metric comparing an individual's salary to the midpoint of the market rate for similar positions.

Pay Dispersion

The extent to which salaries vary within a company or organization, often measured by the difference between the highest and lowest paid positions.

Pay Range

The scale of minimum to maximum amounts of compensation that an organization is willing to pay for a specific job or level of responsibility.

Dispersion

The spread or variability of data points, outcomes, or values from a central value such as the mean or median, used to measure diverse or distributed characteristics.