Question

Question

Your company has paid for a motivational speaker to talk to your employees. How would this be recorded as a journal entry in the accounting cycle?

(1 point)
Responses

not recorded since it’s not a business expense

not recorded since it’s not a business expense

recorded as a debit

recorded as a debit

recorded as a credit

recorded as a credit

recorded as a balance

recorded as a balance

Answer 1

The correct response is: recorded as a debit.

In this case, the cost of the motivational speaker would be considered a business expense, likely recorded in an expense account (e.g., "Professional Fees" or "Training Expenses"). The journal entry would debit the appropriate expense account and credit the cash or accounts payable account, depending on how the payment was made.