46. The entry to close Income Summary to Retained Earnings includes:
A) a debit to Revenue for $70,000.
B) credits to Expense totaling $73,500.
C) a credit to Income Summary for $3,500.
D) a credit to Retained Earnings for $3,500
47. At January 1, 2016 Nova reported stockholders' equity of $50,000. Dividends for the
year totaled $10,000. At December 31, 2016, the company will report stockholders'
equity of:
A) $13,500.
B) $36,000.
C) $40,000.
D) $43,500.
48. After all closing entries have been posted, the Income Summary account will have a
balance of:
A) $0.
B) $3,500 debit.
C) $3,500 credit.
D) $36,500 credit.
49. After all closing entries have been posted, the revenue account will have a balance of
A) $0.
B) $70,000.
C) $70,000.
D) $3,500.
50. At the beginning of April, Logan Enterprises had a $400 balance in the Supplies account.
During the month, Logan purchased additional supplies for $500. At April 30th, the
company had $350 of supplies on hand. The balance in the supplies expense account that
will be closed to Income Summary is:
A) $350.
B) $400.
C) $500.
D) $550.
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