In One Closing Entry, Dividends Is Credited and Income Summary

question 161

True/False

In one closing entry, Dividends is credited and Income Summary is debited.

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Definitions:

Current Ratio

A liquidity ratio that measures a company's ability to pay short-term obligations, calculated as current assets divided by current liabilities.

Financial Information

Data that pertains to the financial status, performance, and changes in the economic resources of an entity.

Debt to Equity

A financial metric that shows the comparative amount of debt and shareholders' equity utilized to fund a company's assets.

Financial Information

Reports and metrics detailing the economic status and performance of a company or individual.