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  1. business
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  3. consider the following transactions from tabor com

Consider the following transactions from Tabor Company's point of view and from Acme Company's point...

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Accounting

Consider the following transactions from Tabor Company's point of view and from Acme
Company's point of view. Hint: from the group assignment.
I. Tabor provides website design services to Acme for $40,000 in cash.
II. Tabor provides website design services to Acme Company for $20,000 on account,
which Tabor expects Acme to pay in the future.
Which of the following is true about what the companies record?
A. In the journal entries for I and II, Tabor Company debits cash ().
B. In the journal entries for I and II, Acme Company credits cash ().
C. When Tabor Company credits cash (), Acme Company debits cash ().
D. When Tabor Company debits accounts receivable(), Acme Company credits
accounts payable ().
E. When Tabor Company credits revenue (,), Acme Company credits
expense (,).
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