1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
zimovet [89]
2 years ago
5

Review and complete the following statement regarding the Income Summary account.

Business
1 answer:
torisob [31]2 years ago
8 0

Answer:

Revenues are Credited, Expenses are Debited and the difference of Revenue and Expenses is credited in the Retained Earnings.

Explanation:

The revenue and retained earnings account are credit in nature and expenses are debit in nature.

This can be Explained from the following equation:

Closing Equity = Opening Equity + (Revenue - Expenses)

Closing Equity - Opening Equity = (Revenue - Expenses)

Earnings Retained by the Company = (Revenue - Expenses)

So the difference of the revenues and expenses goes to retained earnings. If the answer of the difference is positive then the retained earnings are credited otherwise it is credited. So as I said that revenues are credit in nature so if their is profit (credit is in access of debit or in other words revenues are in excess of expenses) then the retained earnings will be credited and if their is a loss then the retained earnings account will be debited.

You might be interested in
One example of a primary market transaction would be the: sale of 100 shares of stock by maria to her best friend. purchase by t
Korolek [52]
In the primary market investors buy securities directly from the company issuing them while the secondary market, investors trade securities among themselves, and the company with the security being traded does not participate in the transaction. Therefore, an example of a primary market transaction would be the sale of 1000 shares of newly issued stock by Alt Company to Miquel.
8 0
3 years ago
Which of the following would likely lead to the greatest improvement in health status of the population in the United States?A.
Grace [21]

Answer:

D. Improved lifestyles, including reductions in the use of tobacco, alcohol, and drugs.

Explanation:

It is in the hands of a person to manage his health Therefore, If he/she improves the lifestyle and eats healthy and exercises daily. One can improve his/her health drastically.

7 0
2 years ago
Okay is it just me or is anyone else getting so many exams and redos right now
Oksanka [162]

Answer:

ufff

Explanation:

exam s are over Best Of Luck ! ❤️❤️

8 0
3 years ago
Pluto Company owns 100 percent of the capital stock of both Saturn Corporation and Sol Corporation. Saturn purchases merchandise
likoan [24]

Answer:

The amount that should be eliminated from cost of goods sold in the combined income statement for 20X8 is $31,250.

Explanation:

Amount eliminated from cost of goods sold in the combined income statement for year 2008.

saturn purchase merchandise from Venus at 125 % of sol cost.

sol sold inventory to saturn for $ 25,000

Amount should be eliminated from combined income statement

=  $25,000*125/100

= $31,250

Therefore, The amount that should be eliminated from cost of goods sold in the combined income statement for 20X8 is $31,250.

4 0
3 years ago
What is the most likely reason for a company to have an increase in average collection period? a. The company has incurred addit
KengaRu [80]

Option A

the most likely reason for a company to have an increase in average collection period : The company has incurred additional marketing expenses to attract customers

<u>Explanation:</u>

The average collection period is the measure of time it necessitates for a business to obtain prices owed by its customers in words of accounts receivable.  To satisfy their economic commitments, Businesses estimate the average collection period to create assured they possess sufficient money on control.

Most firms intend for an average collection period that is flatter than a retail credit system. They require to be capable to extend serving terms to intrigue customers and be capable to accumulate efficiently as strongly.

4 0
3 years ago
Other questions:
  • True or false: market capitalization is equal to # of shares outstanding times earnings per share.
    13·1 answer
  • Select the best answer for the question.
    5·1 answer
  • When the price of penguin patties decreases by 5%, the quantity of flopsicles sold increases by 4% and the quantity of mookies s
    11·1 answer
  • Transactions for the Swifty Company, which provides welding services, for the month of June are presented below. June 1Swifty in
    9·1 answer
  • Steven watched the island get bigger as they approached. Now he could see buildings and roads. He saw that they were approaching
    13·2 answers
  • "A corporation has annual sales of​ $18 million, total assets of​ $4 million, a debt ratio of​ 40%, depreciation expense of​ $20
    9·1 answer
  • REV Co. is reviewing the accounting and disclosure requirements for its significant guarantees, commitments, and contingencies,
    13·1 answer
  • The common stock of RMW Inc. is selling at $88 a share. It just paid a dividend of $4. Investors expect a return of 15 percent o
    6·1 answer
  • Anyway hi, I'm Janis Ian/Janis Sarkasian, Mean Girls movie/musical introject, pronouns are she/sketch, I identify as a girl, and
    7·2 answers
  • Since institutional investors own a large percentage of shares in many corporations they may have the ability to vote large bloc
    10·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!