The Sales Revenue Account Has a Credit Balance of $367,200

question 3

Multiple Choice

The sales revenue account has a credit balance of $367,200 at year end.After Closing entries are made,the account will:

• A)have a debit balance of $367,200.
• B)have a zero balance.
• C)still have a credit balance of $367,200.
• D)be removed entirely from the general ledger.

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Definitions:

Law Of One Price

The economic theory stating that in an efficient market, identical goods must have only one price.

Trade Barriers

Restrictions set by a government to control international trade, often to protect domestic industries.

Purchasing Power Parity

An economic theory that compares different countries' currencies through a "basket of goods" approach to assess the relative value of the currencies.

Corn Price

The market value at which corn, a major agricultural commodity, is traded.