Which of the Following Does Not Correctly Describe an Adjusting

question 2

Multiple Choice

Which of the following does not correctly describe an adjusting journal entry that debits depreciation expense and credits accumulated depreciation?

• A)The entry increases expenses and increases assets.
• B)The entry decreases net income and decreases assets.
• C)The entry increases expenses and decreases retained earnings.
• D)The entry decreases assets and decreases net income.

Understand the purpose and scope of the Uniform Anatomical Gift Act.

Understand the expected growth trends in medical assistant employment.

Recognize the changing landscape of medical business organization most notably the rarity of solo practices.

Identify and understand administrative and clinical skills relevant to medical assistants.

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Definitions:

Net Profit Margin Ratio

An indicator of profitability, calculated as net income divided by revenue.

Total Asset Turnover

A financial gauge assessing how well a company employs its assets to create sales turnover.

Cash Dividend

A payout in cash form from a corporation's profits to the individuals holding its shares.

Stockholders' Equity

Stockholders' equity represents the ownership interest of shareholders in the assets of a corporation, after deducting liabilities.