ame: 21. Entries are made to the Petty Cash account when a. replenishing the petty cash fund. b. making payments out of the fund. c. d. recording shortages in the fund. establishing the fund. 22. Alma Corp. issues 1,000 shares of $10 par value common stock at $16 per share. When the transaction is recorded, credits are made to: a. Common Stock $16,000. b. Common Stock $10,000 and Paid-in Capital in Excess of Stated Value $6,000. Common Stock $10,000 and Retained Earnings $6,000. Common Stock $10,000 and Paid-in Capital in Excess of Par Value $6,000. d. 23. What is the type of account and normal balance of Allowance for Doubtful Accounts? Asset, debit b. Asset, credit C. Contra asset, credit d. Contra asset, debit 24. The debit side of an account d. is the right side of the account b. depends on whether the account is an asset, liability or stockholders' equity item is the left side of the account c. d. can be either side of the account depending on how the accountant set up the system 25. A business borrowed $40,000 on March 1 of the current year by signing a 30-day, 9% interest bearing note. When the note is paid on March 31, the entry to record the payment should include a credit to Cash for $40,000 ID: B a. b. debit to Interest Expense $300 c. credit to Cash for $43,600 d. debit to Interest Payable $300 26. Most employers are required to withhold from employees which of the following employment taxes? only federal unemployment compensation tax a. b. only state unemployment compensation tax C. FICA tax, state and federal unemployment compensation tax FICA tax 27. On June 8, Alton Co. issued an $90,000, 6%, 120-day note payable to Seller Co. Assuming a 360-day year for your calculations, what is the maturity value of the note? a. $91,800 b. $90,000 C. $95,400 d. $90,450