The Income Statement for the Year 2022 of Bugati Co

question 46

Multiple Choice

The income statement for the year 2022 of Bugati Co. contains the following information: $\begin{array}{lr}\text { Revenues }&&\$73,000\\\text { Expenses: }\\\text { Salaries and Wages Expense } & \$ 43,000 \\\text { Rent Expense } & 12,000 \\\text { Advertising Expense } & 11,000 \\\text { Supplies Expense } & 6,000 \\\text { Utilities Expense } & 3,500 \\\text { Insurance Expense } & 4,000 \\\text { Total expenses }&&79,500\\\text { Net income (loss) }&&\$(6,500) \end{array}$ The entry to close the expense accounts includes a

• A) debit to Income Summary for $6,500.
• B) credit to Income Summary for $6,500.
• C) debit to Income Summary for $79,500.
• D) debit to Utilities Expense for $3,500.

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