1 Which of the following journal entries was created as the

-1. Which of the following journal entries was created as the result of a deferral? A. Unearned Revenue Revenue B. Interest Expense Interest Payable C. Cash Revenue D. Salaries Expense Cash 2, which of the following journal entries was created as the result of an accrual? A. Cash Revenue B. Interest Expense Interest Payable C. Cash Deferred Revenue D. Deferred Revenue Revenue

Solution

A)under deferral sysem ,revenue or expense is deferred over the period as it is not yeat earned or incurred .such as Unearned revenue ,prepaid expense etc

correct option is \"A\"

2)correct option is \"B\"

accrued expense are those expense which is incurred but not paid .Interest expense is incurred but not paid is an example of accrual

3)correct option is A\"

Depreciation increases expenses as a result asset will is decreased . The statement does not correctly describes the journal entry

4)correct option is \"C\"

accrual of income tax expense will decrease net income as a result retained earning will be decrease (since net income is closed to retained earning)