Ralph Pine Consulting received its telephone bill in the amount of $300,and immediately paid it.Pine's general journal entry to record this transaction will include a
A)Debit to Telephone Expense for $300.
B)Credit to Accounts Payable for $300.
C)Debit to Cash for $300.
D)Credit to Telephone Expense for $300.
E)Debit to Accounts Payable for $300.

Question

Quizplus · Accepted Answer

The telephone bill is an expense, so it is debited to Telephone Expense. Since it was paid immediately, Cash is credited, not Accounts Payable.

Ralph Pine Consulting Received Its Telephone Bill in the Amount