Which of the Following Is a True Statement About Closing

question 96

Multiple Choice

Which of the following is a true statement about closing the books of a corporation?

• A)Expenses are closed to the Expense Summary account.
• B)Only revenues are closed to the Income Summary account.
• C)Revenues and expenses are closed to the Income Summary account.
• D)Revenues, expenses, and the Dividends account are closed to the Income Summary account.

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Definitions:

MBI Stock

This term does not seem to reference a commonly recognized financial instrument or concept; it might refer to the stock of a specific company identified by the acronym MBI, but without further context, a detailed definition cannot be provided.

Futures Call Option

A financial contract that gives the buyer the right, but not the obligation, to buy an underlying asset at a specified price on or before a certain date.

Futures Contract

A contractual arrangement to purchase or sell a specific asset or commodity at an agreed price on a future date.

Specified Price

A pre-determined price agreed upon by all parties involved in a transaction.