If Income Summary Has a Credit Balance After Revenues and Expenses

question 88

Multiple Choice

If Income Summary has a credit balance after revenues and expenses have been closed into it, the closing entry for Income Summary will include a

• A) debit to Retained Earnings.
• B) debit to Dividends.
• C) credit to Retained Earnings.
• D) credit to Dividends.

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Definitions:

Cocktail Party Effect

The ability to focus one's auditory attention on a particular stimulus while filtering out a range of other stimuli, as at a noisy gathering.

Change Blindness

An inability or failure to notice large changes in one's environment or in a visual stimulus when the change occurs simultaneously with a visual disruption.

Selective Inattention

The process by which an individual unconsciously chooses to ignore or disregard certain stimuli in their environment.

Alpha Waves

Brain waves detected by electroencephalography (EEG), associated with a state of relaxed alertness.