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Green Realty Company received a check for $$24,000$ on July $1$ which represents a $6$ month

advance payment of rent on a building it rents to a client. Unearned Rent Revenue was

credited for the full $$24,000.$ Financial statements will be prepared on July $31.$ Green

Realty should make the following adjusting entry on July $31$ :

a$.$ debit Unearned Rent Revenue, $$4,000$; credit Rent Revenue, $$4,000.$

b$.$ debit Rent Revenue, $$4,000$; credit Unearned Rent Revenue, $$4,000.$

c$.$ debit Unearned Rent Revenue, $$24,000$; credit Rent Revenue, $$24,000.$

d$.$ debit Cash, $$24,000$; credit Rent Revenue, $$24,000.$

Closing Entries:

The following information is from the Income Statement of the Campus Laundry Service:

Revenues

Service Revenue

$$8,500$

Expenses

Salaries and wages expense $$2,450$

Advertising expense $500$

Rent expense $300$

Supplies expense $200$

Insurance expense $100$

Total expenses $3,550$

Net Income $$4,950$

The entry to close the Service Revenue account includes a:

a$.$ debit to Service Revenue for $$8,500.$

b$.$ credit to Service Revenue for $$8,500.$

c$.$ debit to Income Summary for $$8,500.$

d$.$ debit to Retained Earnings for $$8,500.$

The closing entry process consists of closing:

a$.$ all asset and liability accounts.

b$.$ out the Retained Earnings account.

c$.$ all permanent accounts.

d$.$ all temporary accounts.

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