Accounting home work

question_7_of_30.docx

Question 7 of 30

3.3334 Points

On a worksheet, the balance sheet debit column total is $1,000 and the credit column total is $2,000. Which of the following statements is correct?

A. The company had a net income of $1,000.
B. The company's expenses were greater than revenues.
C. The company had a loss of $1,000.
D. None of the above are correct.
Question 9 of 30	3.3334 Points

On a worksheet, the income statement debit column totals $10,200 and the credit column totals $10,000. Which of the following statements is correct?

A. The company's revenues were greater than expenses.
B. The company had a net income of $200.
C. The company had a net loss of $200.
D. None of the above are correct.
Question 10 of 30	3.3334 Points

After the adjustment for depreciation has been made, the original cost of the equipment:

A. remains the same.
B. increases with a credit.
C. decreases with a debit.
D. None of these answers are correct.

Samantha purchased a two-year insurance policy for $7,200. The adjusting entry for one month would include a:

A. credit to Insurance expense, $300.
B. debit to Insurance Expense, $300.
C. credit to Cash, $300.
D. debit to Prepaid Insurance, $300.

On Flex Company's worksheet the revenue account had a normal balance of $3,800. The entry to close the account would include a:

A. credit to Income Summary for $3,800.
B. debit to Flex, Capital for $3,800.
C. credit to Revenue for $3,800.
D. debit to Income Summary for $3,800.

The Income Summary account shows debits of $19,000 and credits of $10,000. This results in a:

To close the Withdrawals account:

A. debit Capital; credit Withdrawals.
B. debit Income Summary; credit Withdrawals.
C. debit Withdrawals; credit Income Summary.
D. debit Withdrawals; credit Capital.