The Cat Lady is a new business you started this year. When your customers are on vacation, you visit their homes and see that their cats are fed and healthy, and you play with them and clean their litter boxes.

You use your own car to get to customers' homes and your own cell phone to speak to your customers.

Your first month's transactions are listed below.

01-Oct	You set up a business bank account and get a business credit card. The bank will charge a fee of $10 at the end of each month.
02-Oct	You deposit $2,000 of your own money into the business bank account to start the business.
03-Oct	You borrow $1,200 from the bank.
04-Oct	You register your business name for $60 with Service Ontario, using the business credit card.
06-Oct	You purchase, using the business credit card, ten cat toys for $200 plus HST. You expect the toys to last more than a year.
07-Oct	You purchase, using the business credit card, 20 kilograms of kitty litter for $400 plus HST.
08-Oct	You buy a one-year liability insurance policy for $1,500, plus 8% tax, paying cash.
10-Oct	You purchase for $200 cash, plus HST, flyers to advertise your business. None of the flyers have been delivered yet.
11-Oct	You pay a student $50 cash to deliver all your flyers to the homes in your area.
12-Oct	You visited your first cat on the Thanksgiving weekend. Because this is your first customer you provide your services for free instead of charging her your usual $40 fee!
15-Oct	Two more customers hire you for the upcoming Christmas holidays. They EACH pay you $20 now to reserve your services.
27-Oct	Business is purring! You have provided services to 30 customers and collected $1,200 in cash.
28-Oct	You now have only 5 kilograms of kitty litter left. All the remainder has been used.
29-Oct	You spent $156 from your personal funds in car expenses this month. One-third of this was business travel and the business pays you cash from the business bank account.
30-Oct	You received your cell phone bill for the month of October. Of the $88, half were business calls. The company will reimburse you the amount owed next month.
31-Oct	You have used up 1 month of insurance coverage.
31-Oct	The bank takes its monthly charge from the business bank account, plus an additional $5 for interest on your loan.
31-Oct	You visited your first customer's black cat on Halloween. The customer will pay you the $40 in November.
31-Oct	You pay the entire balance owing on the business credit card.

REQUIRED - Use the above information to answer all of the following questions.

How will Cat Lady record the October 1 transaction? (1 mark)

a. No entry is needed.

b. decrease Cash and increase Bank Loan Payable, $10

c. decrease Cash and increase Accounts Payable, $10

d. increase both Cash and Owner's Capital, $10

Enter the letter that corresponds to your choice. (A B C D)

How will Cat Lady record the October 2 transaction? (1 mark)

a. increase both Cash and Accounts Payable, $2,000

b. increase both Cash and Bank Loan Payable, $2,000

c. increase both Cash and Owner's Capital, $2,000

d. increase both Cash and Revenue, $2,000

e. increase both Cash and Retained Earnings, $2,000

Enter the letter that corresponds to your choice. (A B C D E)

How will Cat Lady record the October 3 transaction? (1 mark)

a. increase both Cash and Accounts Payable, $1,200

b. increase both Cash and Bank Loan Payable, $1,200

c. increase both Cash and Owner's Capital, $1,200

d. increase both Cash and Revenue, $1,200

e. increase both Cash and Retained Earnings, $1,200

Enter the letter that corresponds to your choice. (A B C D E)

How will Cat Lady record the October 4 transaction? (1 mark)

a. increase both Business Licence and Accounts Payable, $60

b. increase Business Licence and decrease Cash, $60

c. increase Office Expense and decrease Cash, $60

d. increase Accounts Payable and decrease Cash, $60

e. No entry is necessary because a business licence is intangible.

Enter the letter that corresponds to your choice. (A B C D E)

How will Cat Lady classify the cat toys purchased on October 6 on the balance sheet? (1 mark)

a. deferred revenue

b. supplies

c. expense

d. equipment

e. prepaid advertising

Enter the letter that corresponds to your choice. (A B C D E)

How will Cat Lady record the October 7 transaction? (1 mark)

a. increase both Supplies and Accounts Payable, $400

b. increase both Supplies Expense and Accounts Payable, $452

c. increase both Supplies Expense and Accounts Payable, $400

d. increase both Supplies and Accounts Payable, $452

e. increase both Equipment and Accounts Payable, $452

Enter the letter that corresponds to your choice. (A B C D E)

How will Cat Lady record the October 8 transaction? (1 mark)

a. increase Prepaid Insurance and decrease Cash, $1,500

b. increase both Insurance Expense and Accounts Payable, $1,620

c. increase both Prepaid Insurance and Accounts Payable, $1,620

d. increase Insurance Expense and decrease Cash, $1,620

e. increase Prepaid Insurance and decrease Cash, $1,620

Enter the letter that corresponds to your choice. (A B C D E)

How will Cat Lady record the October 10 transaction? (1 mark)

a. increase Prepaid Advertising and decrease Cash, $226

b. increase both Prepaid Advertising and Accounts Payable, $226

c. increase Advertising Expense and decrease Cash, $226

d. increase both Prepaid Advertising and Accounts Payable, $200

e. increase Prepaid Advertising and decrease Cash, $200

Enter the letter that corresponds to your choice. (A B C D E)

How will Cat Lady record the October 11 transaction? (4 marks)

a. increase Advertising Expense and decrease Prepaid Advertising by $226 each, and also increase Cash and decrease Wages Expense by $50 each

b. decrease Advertising Expense and increase Prepaid Advertising by $226 each, and also increase Cash and decdease Wages Expense by $50 each

c. increase Advertising Expense and decrease Prepaid Advertising by $226 each, and also decrease Cash and increase Wages Expense by $50 each

d. increase Advertising Expense and decrease Prepaid Advertising by $276 each, and also increase Cash and decrease Wages Expense by $50 each

e. decrease Advertising Expense and increase Prepaid Advertising by $276 each, and also increase Cash and decrease Wages Expense by $50 each

f. increase Advertising Expense and decrease Prepaid Advertising by $276 each, and also decrease Cash and increase Wages Expense by $50 each

Enter the letter that corresponds to your choice. (A B C D E F)

How will Cat Lady record the October 12 transaction? (1 mark)

a. increase both Cash and Service Revenue, $40

b. increase both Cash and Deferred Revenue, $40

c. increase both Accounts Receivable and Service Revenue, $40

d. increase both Accounts Receivable and Deferred Revenue, $40

e. No entry is needed.

Enter the letter that corresponds to your choice. (A B C D E)

How will Cat Lady record the October 15 transaction? (1 mark)

a. increase both Cash and Service Revenue, $40

b. increase both Cash and Deferred Revenue, $40

c. increase both Accounts Receivable and Service Revenue, $40

d. increase both Accounts Receivable and Deferred Revenue, $40

e. no entry is needed until you provide the services at Christmas

Enter the letter that corresponds to your choice. (A B C D E)

How will Cat Lady record the October 27 transaction? (1 mark)

a. increase both Accounts Receivable and Service Revenue, $1,200

b. increase both Accounts Receivable and Deferred Revenue, $1,200

c. increase both Cash and Service Revenue, $1,200

d. increase both Cash and Deferred Revenue, $1,200

e. No entry is needed.

Enter the letter that corresponds to your choice. (A B C D E)

How will Cat Lady record the October 28 transaction? (1 mark)

a. increase Supplies and decrease Supplies Expense, $339

b. increase Supplies and decrease Supplies Expense, $113

c. increase Supplies Expense and decrease Supplies, $452

d. increase Supplies Expense and decrease Supplies, $339

e. increase Supplies Expense and decrease Supplies, $113

Enter the letter that corresponds to your choice. (A B C D E)

How will Cat Lady record the October 29 transaction? (1 mark)

a. decrease Cash and increase Car Expense, $52

b. increase both Accounts Payable and Car Expense, $52

c. decrease Cash and increase Car Expense, $104

d. increase both Accounts Payable and Car Expense, $104

e. decrease Cash $52, increase Accounts Payable $104, and increase Car Expense $156

Enter the letter that corresponds to your choice. (A B C D E)

How will Cat Lady record the October 30 transaction? (1 mark)

a. decrease Cash $44, increase Accounts Payable $44, and increase Phone Expense $88

b. increase both Accounts Payable and Phone Expense, $88

c. decrease Cash and increase Phone Expense, $88

d. increase both Accounts Payable and Phone Expense, $44

e. decrease Cash and increase Phone Expense, $44

Enter the letter that corresponds to your choice. (A B C D E)

How will Cat Lady record the use of the insurance on October 31? (1 mark)

a. decrease Prepaid Insurance $135 and increase Insurance Expense $135

b. decrease Prepaid Insurance $120 and increase Insurance Expense $120

c. decrease Prepaid Insurance $1,620 and increase Insurance Expense $1,620

d. decrease Prepaid Insurance $1,500 and increase Insurance Expense $1,500

e. no entry is required.

Enter the letter that corresponds to your choice. (A B C D E)

How will Cat Lady record the bank transaction on October 31? (3 marks)

a. decrease Cash $15, decrease Bank Loan Payable $5, increase Interest Expense $10

b. decrease Cash $15, increase Bank Fees Expense $10, increase Interest Expense $5

c. decrease Cash $15, increase Interest Expense $5, decrease Bank Fees Expense $10

d. decrease Cash $15, decrease Bank Loan Payable $10, increase Bank Fees Expense $5

e. decrease cash $15, decrease Bank Loan Payable $10, decrease Retained Earnings $5

f. decrease Cash $15, decrease Bank Loan Payable $5, decrease Retained Earnings $10

Enter the letter that corresponds to your choice. (A B C D E F)

How will Cat Lady record the visit to the cat on October 31, Halloween? (1 mark)

a. no entry is required until the balance is paid

b. increase both Cash and Deferred Revenue, $40

c. increase both Cash and Service Revenue, $40

d. increase both Accounts Receivable and Deferred Revenue, $40

e. increase both Accounts Receivable and Service Revenue, $40

Enter the letter that corresponds to your choice. (A B C D E)

How will Cat Lady record the credit card payment on October 31? (1 mark)

a. decrease both Cash and Accounts Payable $798

b. decrease both Cash and Accounts Payable $782

c. decrease both Cash and Accounts Payable $738

d. decrease both Cash and Accounts Payable $722

e. decrease both Cash and Accounts Payable $678

Enter the letter that corresponds to your choice. (A B C D E)

What is Total Liabilities on the Cat Lady's balance sheet for October 31? (2 marks)

What would be reported on the Cat Lady's income statement as Total Service Revenue for the month of October? (2 marks)

If you were producing the company's December 31 year end financial statements, what would be the balance in Cat Lady's Prepaid Insurance account? (2 marks)

PLEASE ANSWER ASAP WILL GIVE LIKES THANK YOU!!