1. Which of the following accounts would not be debited in the process of prepar
ID: 2444721 • Letter: 1
Question
1.
Which of the following accounts would not be debited in the process of preparing closing entries for A Company
a. Retained Earnings.
b. Service Revenue.
c. None of these answers are correct
d. Income Summary.
e. Dividends.
2.
a.$162,000
b. $190,000
c. $150,000
d. $178,000
e. None of these answers are correct.
3.
If expenses are $540,000, sales are $440,000 and dividends are $50,000, what is the balance of income Summary prior to closing?
a. It will have a debit balance of $100,000.
b. It will have a credit balance of $50,000.
c.It will have a credit balance of $100,000.
d. None of these answers are correct
e. It will have a debit balance of $50,000.
4.
If the total debit column exceeds the total credit column of the income statement columns on a worksheet, then the company has?
a. to make an adjusting entry.
b. an error because debits do not equal credits.
c. suffered a net loss for the period.
d. none of these answers are correct
e. earned net income for the period.
Explanation / Answer
1. a. Retained Earnings
2.a. $162,000
3.e. It will have a debit balance of $50,000
4.c. suffered a netloss of the period
Related Questions
Navigate
Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.