Select the Account Types for These Items

question 38

Multiple Choice

Select the account types for these items:
? Repairs and maintenance
? Repairs and maintenance payable
? Accounts receivable
? Drawings

• A)Expense,liability,asset,equity
• B)Asset,liability,asset,equity
• C)Expense,asset,asset,expense
• D)Expense,liability,asset,liability

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Definitions:

Capital

Capital refers to the financial resources that businesses use to fund their operations and grow, including equity, debt, and retained earnings.

Assets

Resources owned by a company that have economic value and are expected to provide future benefits.

Rent Expense

The cost incurred by a business for leasing a property or equipment for operational purposes.

Income Summary

An account used in the closing process that summarizes the results of all revenue and expense accounts.