When a Journal Entry Includes Either a Debit or a Credit

question 1

True/False

When a journal entry includes either a debit or a credit to Accounts Receivable, the amount must be posted to both the general ledger and the subsidiary ledger.

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Definitions:

Single-Step Income Statement

An income statement format that deducts total expenses from total revenues with one calculation, to find the net income.

Operating Income

Profit realized from a business's core operations, excluding deductions of interest and taxes.

Income Tax Rate

The percentage of income that is paid to the government as tax.

Gain on Sale

The profit realized from the sale of an asset when it is sold for more than its carrying amount on the company's books.