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Rich Company Paid Transport Expenses of $3,000 in Cash $3,000\quad\$ 3,000

Question 22

Multiple Choice

Rich Company paid transport expenses of $3,000 in cash. Which of the following journal entries records this transaction?


A)
Transport Expense $3,000\quad\$ 3,000
Prepaid Expense $3,000\quad \$ 3,000
B)
Transport Expense $3,000\quad\$ 3,000
Cash $3,000\quad \$ 3,000
C)
 Cash $3,000 Transport Payable $3,000\begin{array} { l l } \text { Cash } & \$ 3,000 \\\text { Transport Payable } & \$ 3,000\end{array}
D)
 Prepaid Expense $3,000 Cash $3,000\begin{array} { l r } \text { Prepaid Expense } & \$ 3,000 \\\text { Cash } & \$ 3,000\end{array}

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