The Income Summary Account Is Used To

question 186

Multiple Choice

The Income Summary account is used to:

• A)Adjust and update asset and liability accounts.
• B)Close the revenue and expense accounts.
• C)Determine the appropriate dividend amount.
• D)Replace the income statement under certain circumstances.
• E)Replace the Retained earnings account in some businesses.

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Definitions:

Union Contracts

Legal agreements between labor unions and employers that outline wages, working conditions, benefits, and other employment terms for workers.

Just Cause

A legal standard requiring employers to have a fair and factual reason for disciplinary actions or firing employees, typically applied in unionized workplaces.

Private Sector

The part of the economy that is run by individuals and companies for profit and is not under direct governmental control.

Weingarten Rights

The rights of employees to have union representation during investigatory interviews that they believe could result in disciplinary action.