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cornell products trial balance December 31.2011 Cash 15,500 Accounts receivable

ID: 2376383 • Letter: C

Question

cornell products

trial balance

December 31.2011


Cash                      15,500

Accounts receivable       12,750

office equipment          22,500

Accummulated depreciation          6,000

accounts payable                   7,750

capital stock                      22,500

retained earnings                  ****

dividends                 7,500

service fees earned                45,500

salaries expense          16,000

advertising expense        3,250

depreciation expense      4,250

                           

                          81,750   81,750



Refer to the information above. Net income for the period equals:

  a.$11,600.

  b.$22,500.

  c.$36,750.

  d.$22,000.

Refer to the information above. After closing the accounts, Retained earnings at December 31 equals:

  a.$22,500.

  b.$14,500.

  c.$22,000.

  d.zero.

Refer to the information above. The total debits in the After-Closing Trial Balance will equal:

  a.$58,250.

  b.$31,000.

  c.$23,500.

  d.$50,750.

Explanation / Answer

Refer to the information above. Net income for the period equals:

   d.$22,000.

Refer to the information above. After closing the accounts, Retained earnings at December 31 equals:

    b.$14,500.

Refer to the information above. The total debits in the After-Closing Trial Balance will equal:

  d.$50,750.