The Entry to Create a General Reserve Is Usually

question 18

Multiple Choice

The entry to create a general reserve is usually:

• A) DR General reserve
• CR Retained profits
• B) DR Retained profits
• CR General reserve
• C) DR Profit and loss
• CR General reserve
• D) DR Expense
• CR General reserve

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Definitions:

Jewelry Store

A retail business establishment specialized in selling jewelry, including rings, necklaces, earrings, and bracelets.

Insurable Interest

A requirement in insurance policies that the policyholder must stand to suffer a financial loss from the insured event, giving them a legitimate interest in seeking coverage.

Buyers

Individuals or entities that purchase goods or services.

Sellers

Individuals or entities that offer goods or services for sale to buyers.