For Each of the Following, Identify in Column 1 the Balance

question 22

Essay

For each of the following, identify in Column 1 the balance the account will have in the adjusted trial balance columns (debit or credit), in Column 2 the financial statement column(s) in which the account balance will be found (income statement or balance sheet), and in Column 3 the effect the account will have on the determination of net income (increase, decrease, or none).
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Definitions:

Payment Policy

Guidelines or procedures set by a company to manage how and when payments are made and received.

Economic Condition

The state of the economy at a given time, including factors such as GDP growth rates, unemployment rates, and inflation rates.

Capacity

The maximum level of output that a company can sustain to produce in a given period under normal conditions.

Net Credit Period

The amount of time allowed by a seller to the buyer to pay for the goods or services purchased on credit.