Consider the following events for Sophia Incorporated: Under cash-basis accounting,what is the appropriate day to record the expenses related to the sand volleyball camp?
$$\begin{array} { | l | l | }
\hline \text { April } 5 & \text { Sophia purchas es volleyballs for } \$ 200 \text { on account. } \
\hline \text { April } 6 & \text { Sophia advertises a sand volleyball camp tor } \$ 20 \text { a person. } \
\hline \text { April } 12 & \text { Thirty people sign up for the camp paying a total of } \$ 600 . \
\hline \text { April } 21 & \text { Sophia hosts the sand volleyball camp. } \
\hline \text { April } 23 & \text { Sophia pays for the volleyballs purchased on April } 5 . \
\hline
\end{array}$$
A)April 5.
B)April 12.
C)April 21.
D)April 23.

Question

Consider the following events for Sophia Incorporated: Under cash-basis accounting,what is the appropriate day to record the expenses related to the sand volleyball camp?
$$\begin{array} { | l | l | } 
\hline \text { April } 5 & \text { Sophia purchas es volleyballs for } \$ 200 \text { on account. } \
\hline \text { April } 6 & \text { Sophia advertises a sand volleyball camp tor } \$ 20 \text { a person. } \
\hline \text { April } 12 & \text { Thirty people sign up for the camp paying a total of } \$ 600 . \
\hline \text { April } 21 & \text { Sophia hosts the sand volleyball camp. } \
\hline \text { April } 23 & \text { Sophia pays for the volleyballs purchased on April } 5 . \
\hline
\end{array}$$
A)April 5.
B)April 12.
C)April 21.
D)April 23.

Quizplus · Accepted Answer

Under cash-basis accounting, expenses are recorded when cash is paid out. Sophia pays for the volleyballs on April 23, making this the correct date to record the expense.

Consider the Following Events for Sophia Incorporated: Under Cash-Basis Accounting,what