The Income Statement for the Year 2016 of Bugati Co

question 215

Multiple Choice

The income statement for the year 2016 of Bugati Co. contains the following information: $\begin{array}{lr}\text { Revenues } &&\$73,000 \\\text { Expenses: } & \\\text { Salaries and Wages Expense } & \$ 43,000 \\\text { Rent Expense } &12,000 \\\text { Advertising Expense } & 11,000 \\\text { Supplies Expense } &6,000 \\\text { Utilities Expense }& 3,500\\\text { Insurance Expense }&4,000 \\\quad \text { Total expenses } &&79,500 \\\text { Net income (loss) } &&\$(6,500) \end{array}$
After the revenue and expense accounts have been closed the balance in Income Summary will be

• A) $0.
• B) a debit balance of $6500.
• C) a credit balance of $6500.
• D) a credit balance of $73000.

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Definitions:

Workstations

Specialized computer setups or desks designed for professional use, often equipped with powerful hardware to handle demanding tasks.

Task Times

The duration required to complete specific tasks in a process or project.

Assembly Line

An assembly technique where elements are added one after another to efficiently finalize a product.

Required Times

Required Times usually refer to the amount of time needed to complete specific tasks or processes in a production or project schedule.