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As of the beginning of $2020,$ the Balboa Company had equipment totaling $$1,650,000$ which was depreciated at $$150,000$ per year. If Balboa makes the appropriate adjusting entry at year end, which of the following is one part of the journal entry that will be made?

A$)$ Debit Equipment for $$150,000$

B$)$ Credit Depreciation Expense for $$150,000$

C$)$ Debit Equipment for $$1,650,000$

D$)$ Credit Accumulated Depreciation for $$150,000$

If the beginning Cash account balance of Crossbow, Inc. was $$46,800,$ the ending balance was $$22,200,$ and total cash received during the period was $$71,000,$ what amount of cash was paid out during the period?

A$)$ $$24,600$

B$)$ $$95,600$

C$)$ $$104,400$

D$)$ $$117,800$

Which one of the following errors causes an understatement of net income?

A$)$ Failure to accrue revenue earned but not billed

B$)$ Failure to accrue wages earned but not yet paid to employees

C$)$ Failure to record depreciation expense

D$)$ Failure to record payment of account payable

Sam "The Man" received $$20,000$ from a tenant on December $1$ for five months' rent of an office. This rent was for December, January, February, March, and April.

If Sam debited Cash and credited Unearned Rental Income for $$20,000$ on December $1,$ what necessary adjustment would be made on December $31?$

A$)$ Unearned Rental Income $,4,000$

Rental Income $,4,000$

B$)$ Rental Income $,16,000$

Unearned Rental Income $,16,000$

C$)$ Unearned Rental Income $16,000$

Rental Income $,16,000$

D$)$ Rental Income $,4,000$

Unearned Rental Income $,4,000$

Williams Company paid $$24,000$ for a two$-$year insurance policy on October $1$ and recorded the $$24,000$ as a debit to Prepaid Insurance and a credit to Cash.

What adjusting entry should Williams make on December $31,$ the end of the accounting period $($no previous adjustment has been made$)?$

A$)$ Prepaid Insurance $,24,000$ Insurance Expense $,24,000$

B$)$ Insurance Expense $,3,000$

Prepaid Insurance $,3,000$

C$)$ Prepaid Insurance $,4,000$

Insurance Expense $,4,000$

D$)$ Insurance Expense $,12,000$

Prepaid Insurance $,12,000$

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