During February 2010, its first month of operations, the owner of Alona Enterprises invested cash of $25,000. Alona had cash revenues of $4,000 and paid expenses of $7,000. Assuming no other transactions impacted the cash account, what is the balance in Cash at February 28?
A) $3,000 credit
B) $22,000 debit
C) $29,000 debit
D) $18,000 credit

Question

Quizplus · Accepted Answer

The cash balance is calculated by adding the initial investment and cash revenues, then subtracting the expenses: $25,000 + $4,000 - $7,000 = $22,000 debit.

During February 2010, Its First Month of Operations, the Owner