Edison Consulting received a $300 utilities bill and immediately paid it.Edison's general journal entry to record this transaction will include a:
A)Debit to Utilities Expense for $300.
B)Credit to Accounts Payable for $300.
C)Debit to Cash for $300.
D)Credit to Utilities Expense for $300.
E)Debit to Accounts Payable for $300.

Question

Quizplus · Accepted Answer

The correct journal entry involves debiting Utilities Expense to recognize the cost incurred and crediting Cash to reflect the payment made.

Edison Consulting Received a $300 Utilities Bill and Immediately Paid