Question

00oo

Answer 1

	Entry
1)			Debit	Credit
	operating expense		140,000		Decrease Stockholders Equity
	Cash			90,000	decrease assets
	Accounts payable			50,000	increase liabilities
	last option is correct answer
	Stockholders Equity decrease $140,000 ; assets decrease $90,000
	and liabilities increase $50,000
2)	kung
	liabilities prior to adjusting entries					280,000
	Accrued expense					24,000
	unearned rent revenue					-2000
	liabilities after adjusting entries					302,000	answer