The Income Statement for the Month of June 2016 of Snap

question 213

Multiple Choice

The income statement for the month of June 2016 of Snap Shot Inc. contains the following information: $\begin{array}{lr}\text { Revenues } &&\$7,300 \\\text { Expenses: } & \\\text { Salaries and Wages Expense } & \$ 3,000 \\\text { Rent Expense } & 1,300 \\\text { Advertising Expense } & 700 \\\text { Supplies Expense } & 200 \\\text { Insurance Expense } & 100 \\\quad \text { Total expenses } &&5,300 \\\text { Net income } &&\$2,000\end{array}$ The entry to close the expense accounts includes a

• A) debit to Income Summary for $2000.
• B) credit to Rent Expense for $1300.
• C) credit to Income Summary for $5300.
• D) debit to Salaries and Wages Expense for $3000.

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Definitions:

Solidify

The process by which a substance changes from a liquid to a solid state, often as a result of cooling or a chemical reaction.

Flood Basalts

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Life on Earth

Refers to the existence and diversity of living organisms on the planet Earth, including plants, animals, and microorganisms.

Mass Extinction

The disappearance of many species and families of creatures in a geologically short period of time.