At Year End, Other Comprehensive Income Is Closed Out to

question 58

Multiple Choice

At year end, other comprehensive income is closed out to

• A) retained earnings.
• B) share capital.
• C) accumulated other comprehensive income.
• D) net income.

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Definitions:

Debit Balances

Accounts with a balance that represents amounts owed or expenses; typically assets and expenses accounts.

Financial Statement Order

The sequence in which financial statements are prepared and presented, typically starting with the income statement, followed by the statement of financial position, and so on.

Financial Ratios

Quantitative measures derived from financial statement analysis to evaluate the financial health of a company.

Underlying Conditions

Fundamental or root circumstances or factors that directly impact outcomes, often requiring analysis to fully understand their effects.