Russell Co $\begin{array}{|l|l|l|}\hline \text { Utilities Expense } & 400 & \\\hline \text { Accounts Receivable } & & 400 \\\hline\end{array}$

question 107

Multiple Choice

Russell Co. received a $400 utility bill for the current month's electricity. It is not due until the end of the next month which is when they intend to pay it. Which of the following general journal entries will Russell Co. make to record the receipt of the bill?

• A) \(\begin{array}{|l|l|l|}
• \hline \text { Utilities Expense } & 400 & \\
• \hline \text { Accounts Receivable } & & 400 \\
• \hline
• \end{array}\)
• B) \(\begin{array}{|l|r|}
• \hline \text { Cash } & 400 \\
• \hline \text { Utilities Expense } & 400\\\hline
• \end{array}\)
• C) \(\begin{array}{|l|r|l|}
• \hline \text { Utilities Expense } & 400 & \\
• \hline \text { Accounts Payable } & & 400 \\
• \hline
• \end{array}\)
• D) \(\begin{array}{|l|r|r|}
• \hline \text { Accounts Payable } & 400 & \\
• \hline \text { Utilities Expense } && 400 \\
• \hline
• \end{array}\)
• E) No journal entry is required.

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Definitions:

Systems Software

The class of computer instructions that serve primarily as an intermediary between computer hardware and application programs; provides important self-regulatory functions for computer systems.

Price

The amount of money expected, required, or given in payment for something.

Hardware

The physical components of a computer system, such as the CPU, memory devices, and input/output devices.

Software

A set of computer programs that enable the hardware to process data.