Multiple Choice
The statement relating to the Profit and Loss Summary Account that is incorrect is:
A) The balance in each income and expense account is transferred to the Profit and Loss Summary Account
B) The balance in the Profit and Loss Summary Account is transferred to the owner's Capital account
C) The Profit and Loss Summary Account is established to summarise the balances in the income and expense accounts
D) The Profit and loss Summary Account is a permanent account
Correct Answer:
Verified
Correct Answer:
Verified
Q30: Interim statements are:<br>A)Summary statements<br>B)Prepared by junior staff
Q32: Accounting entries made to reduce the temporary
Q33: The post closing trial balance contains only:<br>A)income
Q34: The post-closing trial balance should contain only
Q35: Closing which of these accounts results in
Q36: Closing entries are made:<br>A)In the ledger only<br>B)In
Q37: If expenses exceed income,before it is closed,the
Q39: In the closing process which accounts are
Q39: The statement relating to reversing entries that
Q40: The statement relating to reversing entries that