Limelight Company records these journal entries: Prepaid insurance expired ...
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Accounting
Limelight Company records these journal entries:
Prepaid insurance expired
$53
Accrued rent expense
$28
Salaries previously accrued are paid
$27
Common stock is issued for cash
$35
Required for Section 2:
Indicate the net effect of these journal entries (i.e., combined effect of all four journal entries) on the following items. Indicate the dollar amount of the net effect and the direction of the net effect. (Example: $13 Increase, or $8 Decrease, or No Effect.) Hint: Prepare the journal entries.
Net Income
Total Assets
Total Liabilities
Retained Earnings
Total Equity
Working Capital
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