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Indicate whether the statement is true or false
TRUE
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Crown King Burgers purchased new soda machines for $900,000 and pays $100,000 for installation costs. One-half of the total cost or $500,000 is paid in cash; a note in the amount of $500,000 is signed. How should the company record this transaction?
A. Debit Cash for $500,000, debit Notes Payable for $500,000, and credit Equipment for $1,000,000. B. Debit cash for $500,000, debit Notes Payable for $500,000, credit Equipment for $900,000, and credit Operating Expenses for $100,000. C. Debit Equipment for $900,000, debit Operating Expenses for $100,000, credit cash for $500,000, and credit Notes Payable for $500,000. D. Debit Equipment for $1,000,000, credit Cash for $500,000, and credit Notes Payable for $500,000.
Which of the following is true of misdemeanor cases?
A) They do not require mens rea. B) The prosecutor presents the facts to a magistrate and an information is issued. C) The prosecutor presents the facts of the crime to a grand jury. D) They are punishable by imprisonment of more than two years.