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\begin{tabular}{|l|l|} \hline 1 & \begin{tabular}{l} Unearned revenues are revenues that have been received in cash and \\ recorded as liabilities before services have been performed \end{tabular} \\ \hline 2 & \begin{tabular}{l} The first journal entry to establish a petty cash fund would be to debit \\ Cash and credit Petty Cash \end{tabular} \\ \hline 3 & \begin{tabular}{l} Using a bank account makes internal control over cash much stronger \\ because the bank statement provides an independent record of activity. \end{tabular} \\ \hline 4 & \begin{tabular}{l} A note receivable is a formal instrument of credit issued as proof of a \\ debt between a debtor and the company. \end{tabular} \\ \hline 5 & \begin{tabular}{l} Depreciation reflects the decline in value of an asset \\ \hline 6 \\ The units-of-production method results in the same depreciation \\ the beginning of the year or part way through the year \end{tabular} \\ \hline 7 & \begin{tabular}{l} The cost of land might include closing costs, such as survey and legal \\ fees, and costs to prepare the land for its intended use \end{tabular} \\ \hline 8 & \begin{tabular}{l} While the cost of land is recorded as a long-lived asset, the cost of \\ paving a parking lot can be expensed immediately \end{tabular} \\ \hline 9 & \begin{tabular}{l} As interest is incurred on a short-term note payable, it is debited to \\ Notes Payable \end{tabular} \\ \hline 10 & \begin{tabular}{l} A journal entry is required to recognize the current portion of long-term \\ debt \end{tabular} \\ \hline 11 & \begin{tabular}{l} An estimated liability is a liability that is known to exist but who amount \\ and timing are uncertain \end{tabular} \\ \hline 12 & \begin{tabular}{l} HST makes the cost of goods more expensive to a merchant who will \\ resell the goods to consumers \end{tabular} \\ \hline 13 & \begin{tabular}{l} HST is a combined or harmonized sales tax consisting of GST and \\ provincial sales tax \end{tabular} \\ \hline 14 & \begin{tabular}{l} Furniture purchased for the office would include an entry for HST \\ Recoverable \end{tabular} \\ \hline 15 & \begin{tabular}{l} Net pay is determined by subtracting employee payroll deductions from \\ \hline \end{tabular} \\ \hline \end{tabular}

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