Reference no: EM132911256

Problem 1: The company paid $ 1,600 in rent for the space occupied by the office during this month. The journal entry is:

1- The Cash account is debited in $ 1,600 and the office space account is credited in $ 1,600

2- The Rent Expense account is debited for $ 1,600 and the Cash account is credited for $ 1,600

3- The office space account is debited in $ 1,600 and the Cash account is credited in $ 1,600

4- The cash account is debited in $ 1,600 and the Rent Expense account is credited in $ 1,600

Problem 2: An example of internal accounting control can be:

1- Allow employees to set their own work hours

2- Control the prices of health insurance in order to comply with government regulations on prices

3- Promote that managers donate their time to charities

4- Have each cashier carry out the cashier closing process and balance the balances at the end of the day