Q1: choose the correct answer :-

(1) - On March 15, 2022, Baqir Co. has a credit card sale of $ 4000 to a customer. The bank charges a processing fee of 2.5%. Payment for the credit card company is received on March 31, 2022. What is the Journal Entry on March 15, 2022.

a) Account Receivable Dr . 3900

Credit Card Expenses Dr . 100

To Sales 4000

b) Account Receivable Dr . 4000

Credit Card Expenses Dr . 100

To Sales 4100

c) Cash A/c Dr . 4000

To Credit Card Expenses 100

To Sales 3900

d) Account Receivable Dr . 3900

Credit Card Expenses Dr . 100

To Credit Card Company 4000

(2) - Abraham Co. has $ 50,000 in Account Receivable and $ 600 credit balance in Allowance for Doubtful Account on December 31 , 2021 . Past experience suggests that 5% of receivable are uncollectible. What is Abraham Co. 's Bad Debts Expense for 2021?

a) 3100

b) 1900

c) 50600

d) 2500

(3) - Under Unit of Production Method of Calculating Depreciation, if there is no production in any year, depreciation amount of that year will be

a) Very Low

b) Can't Say

c) Zero

d) Very High

(4) - Aging of Receivable method of Estimating the Amount of Bad Debt focuses on

a) Cash Flow Statement

b) Cash Book

c) Income Statement

d) Balance Sheet

(5) - The value of Assets will never be zero under

a) Both Straight Line and Declining Balance Method

b) Unit of Production Method

c) Straight Line Method

d) Declining Balance Method

(6) - Salvage Value is also known as

a) Bargaining Value

b) Ending Value

c) Remaining Value

d) Residual Value