The activity of Reno Company for the month of April is given below: Using the cash basis of accounting,the total expenses for Reno Company for the month of April are ________.
A)$62,000
B)$67,000
C)$79,000
D)$86,000

Question

The activity of Reno Company for the month of April is given below:  Using the cash basis of accounting,the total expenses for Reno Company for the month of April are ________.
A)$62,000 
B)$67,000 
C)$79,000 
D)$86,000

Quizplus · Accepted Answer

Using the cash basis of accounting, expenses are recorded when they are paid. From the information given in the activity, the total expenses paid during the month of April are:
$18,000 + $26,000 + $23,000 = $67,000.
Therefore, the best answer is B.

The Activity of Reno Company for the Month of April