Question

Scoring: Your score will be based on the number of correct matches. There is no penalty for incorrect or missing matches. Match the type of account with the business transactions that follow. Clear All Received payment covering a 6-month magazine subscription. Prepaid expense Received 6 months of rental payments from a tenant. Accrued expense Annual depreciation on equipment, recorded on a monthly basis. Unearned revenue A contract to provide tutoring services beginning next month was signed. Accrued revenue Provided tutoring for a student that will be invoiced next month. None of these Paid 6 months of rental payments to the landlord.

Answer 1

Case	Type	Remarks
Received payment covering 6 month magazine subscription	Unearned Revenue	Unearned revenue is money received for a service that has yet to be provided.
Received 6 months of rentals payments from tenant	Unearned Revenue	Unearned revenue is money received for a service that has yet to be provided.
Annual depreciation on a equipment, recorded on a monthly basis.	None of these	This is a accounting policy.
A contract to provide tutoring services was signed last month.	None of these	Just a contract signing, no financial transaction involves.
Provided tutoring for a student that will be invoiced next month	Accrued Revenue	Accrued revenue is revenue that has been earned by providing a good or service, but for which no cash has been received.
Paid 6 months of rental payments to landlord.	Prepaid Expense	Prepaid expenses are future expenses that have been paid in advance.