If the Rate of Exchange for a British Pound Is

question 18

Multiple Choice

If the rate of exchange for a British pound is $2 in Canadian currency,the rate of exchange for the Canadian dollar:

• A)is 1/2 pound
• B)is 2 pounds
• C)is $0.5
• D)is $2
• E)cannot be determined from the information given

---

Definitions:

Net Income

The income a business retains following the deduction of all expenses, taxes, and costs from its overall revenue.

Total Assets

A corporation's complete asset portfolio, which includes both current assets and assets held for a longer period.

Post-Closing Trial Balance

A list of all accounts and their balances after the closing entries have been made, ensuring that debits equal credits in preparation for the next accounting period.

Temporary Accounts

Accounts that are closed at the end of the accounting year, including income, expense, and withdrawal accounts, to prepare the company for the new fiscal year.