Can someone help with an Accounting homework packet? please explain answers if possible...?

Question

1. If there is a balance in the prepaid rent account after adjusting entries are made, it represents a(n):
a. deferral
b. accural
c. revenue
d. liability

2. Long-term Liabilities appears on the:
a. balance sheet
b. Retained earnings statement
c. income statement
d. statement of cash flows

3. A business pays weekly salaries of $20,000 on Friday for a five-day week ending on that day. The adjusting entry necessary at the end of the fiscal period ending on Thursday is:
a. debit Salaries Payable, $16,000; credit Cash, $16,000
b. debit Salary Expense, $16,000; credit Dividends $16,000
c. debit Salary Expense, $16,000; credit Salaries Payable, $16,000
d. Debit Dividends $16,000; credit Cash, $16,000

4. The net income reported on the income statement is $90,000. However, adjusting entries have not been made at the end of the period for supplies expense of $2,500 and accrued salaries of $3,400. Net income, as corrected, is:
a. $84,100
b. $96,600
c. $90,000
d. $97,500

Answer 1

1. D. Prepaid rent is a liability as you "owe it" to someone and it satisfies the three tests for liability (e.g. measurable, probable and has happened).
2. A. Balance sheet. It's one the "credit side" with owners' equity.
3. A. You probably meant $16,000, not $20,000. If so, the answer is A as you have already accrued the expense through the passage of time and the payment of cash is the adjusting entry adjusting payables (debit) for credit cash.
4. A. If you haven't recorded $2,500 and $3,400 of expenses you should have, then income is $5,900 too high. $90k - $5.8k = $84.1k.