Accounting Ch. 3
Review and complete the following statement regarding the income summary amount, The income summary account is _______ for the sum of all revenue accounts and is _______ for the sum of all expense accounts and its balance will be transferred to the _______ account.
The income summary account is credited for the sum of all revenue accounts and is debited for the sum of all expense accounts and its balance will be transferred to the retained earnings account.
For the current year, a business has earned (but not recorded or received) $200 of interest from investments Demonstrate the required adjusting entry by completing the following sentence. The required adjusting entry would be to debit the ______ account, and _________ the __________ account.
The required adjusting entry would be to debit the interest receivable account, and credit the interest revenue account.
illustrate your understanding of how to use the adjusted trial balance to prepare a statement of retained earnings by completing the following sentence: In order to prepare the statement of retained earnings, the balance to the ______________ account balance, as well as any debit balance in the ________ account is transferred from the adjusted trial balance is used along with the reported net income (loss) from the income statement
In order to prepare the statement of retained earnings, the balance to the retained earnings account balance, as well as any debit balance in the dividends account is transferred from the adjusted trial balance is used along with the reported net income (loss) from the income statement
$1,000 of cash was received in advance by preforming services. By the end of the period, $300 had not yet been earned. (The unearned revenue was increased at the time of the initial cash receipt.) demonstrate the required adjusting journal entry
Service Revenue would be credited for $700 Unearned Revenue would be debited for $700
For the current year, a business has earned (but not recorded or received) $200 of interest from investments. Demonstrate the required adjusting entry by completing the following sentence. The required adjusting entry would be to debit the _________ account, and ________ the ________ account.
The required adjusting entry would be to debit the interest receivable account, and credit the interest revenue account.
