HVAC Service
The following transactions occurred during
-Refer to HVAC Service. Based on these transactions, what is the total amount of expense that should be reported on the company's income statement for the month?

Question

HVAC Service
The following transactions occurred during 
-Refer to HVAC Service. Based on these transactions, what is the total amount of expense that should be reported on the company's income statement for the month?

Quizplus · Accepted Answer

The total expenses for the month include salaries ($2,500) and the cost of office equipment and supplies ($4,150). However, only the portion of the office supplies that were used in November would be considered an expense for the month. Since it is stated that none of the supplies were used, the expense for office supplies should be $0. Therefore, the total expense reported on the income statement for the month is $2,500 + $4,000 = $6,500. However, since the bill for advertising will not be paid until next month, it is not considered an expense for November.

HVAC Service The Following Transactions Occurred During