A Business Has Beginning Capital of $100,000

question 154

Multiple Choice

A business has beginning Capital of $100,000.During the year,Sales revenues were $20,000,Sales returns and allowances were $300,Sales discounts were $700,Cost of goods sold were $12,000,and all other expenses totaled $4,500.$1,000 of withdrawals were taken.The fourth closing entry would include which of the following line items?

• A) Debit to Income summary of $1,000
• B) Credit to Income summary of $1,000
• C) Debit to Capital of $1,000
• D) Debit to Capital of $16,500

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Definitions:

Core Capitalist Country

A highly developed, industrialized country that is a central force in the global economic system.

Core Peripheral Country

A concept in world-systems theory describing countries that dominate in terms of advanced technology, financial resources, and economic influence, as opposed to peripheral countries that are dependent and exploited.

Geopolitically Important

Having significant influence or strategic value in global politics and international relations.

Financial Assistance

Support given in the form of money to individuals or organizations in need, often provided by governments, institutions, or private entities.