0
Add your answer:
Earn +20 pts
How do you do the income summary?
If there is a net income, debit Income Summary. If there is a net loss, then credit it.
What is journal entry to taking funds to reserve account?
[Debit] Net income account [Credit] General Reserves
What is the journal entry to close the income summary account when there was net income for the period involves?
You debit the income summary (which has a credit balance due to a positive net income) for the same amount that is on the credit side to close it out, and you credit retained earnings for the same amount.
Does an expense normally have a credit or debit balance?
Expenses maintain a debit balance. They are opposite accounts to Revenue which maintains a credit balance. Gross Income (Gross Revenue) - Expenses = Net Income
Is net income a debit or credit in the statement of cash flow?
In a statement of cash flow a net income is a credit, which should always be the same amout of cash in your balance sheet. (nice check)
How do you do the income summary?
If there is a net income, debit Income Summary. If there is a net loss, then credit it.
What is journal entry to taking funds to reserve account?
[Debit] Net income account [Credit] General Reserves
What is the journal entry to close the income summary account when there was net income for the period involves?
You debit the income summary (which has a credit balance due to a positive net income) for the same amount that is on the credit side to close it out, and you credit retained earnings for the same amount.
Is net income recorded on the worksheet in the Income Statement Debit column and the Balance Sheet Credit column?
debit column of the income statement and the credit column of the balance sheet.
Does an expense normally have a credit or debit balance?
Expenses maintain a debit balance. They are opposite accounts to Revenue which maintains a credit balance. Gross Income (Gross Revenue) - Expenses = Net Income
Is net income a debit or credit in the statement of cash flow?
In a statement of cash flow a net income is a credit, which should always be the same amout of cash in your balance sheet. (nice check)
What will a decrease a revenue and a decrease in assets?
A sales refund will reduce income (debit to Sales Returns) and assets (credit to cash). A debit to Depreciation Expense and a credit to Accumulated Depreciation will reduce assets and net income.
A net loss is entered in the work sheet's?
Income Statement Credit and Balance Sheet Debit columns.
Is wages due debit or credit?
wages is expense and expense is debit salary is income and income is credit
Is the income from rent a credit or a debit?
Credit
If The total debit column exceeds the total credit column of the income statement columns on a worksheet?
the company has a net loss
Is Fees income a credit or debit balance?
credit
