Use the Following Account Balances from the Adjusted Trial Balance

question 8

Multiple Choice

Use the following account balances from the adjusted trial balance columns of RB Auto's worksheet to answer below question. Select the correct closing entry that RB Auto would make to close the owner's withdrawal account at the end of the accounting period.

• A) debit R.Holloway,Drawing $500 and credit Income Summary for $500.
• B) debit Income Summary $500 and credit R.Holloway,Drawing for $500.
• C) debit R.Holloway,Capital $500 and credit R.Holloway,Drawing for $500.
• D) debit R.Holloway,Drawing $500 credit R.Holloway,Capital for $500.

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Definitions:

Closed Systems

A system with limited exchanges of matter or energy with its environment, constrained by fully controlled boundaries.

Ascribed Characteristics

Traits that individuals are born with or that are assigned to them by others, including race, ethnicity, and gender, that significantly affect their social experiences.

Ethnicity And Gender

Aspects of social identity that influence one's experiences and opportunities based on cultural background and societal roles associated with being male or female.

Social Stratification

The arrangement or classification of society into hierarchical layers based on factors like wealth, power, and social status.