Before Calculating the Profit for the Period, the Totals of the Income

question 32

Multiple Choice

Before calculating the profit for the period, the totals of the income statement debit and credit columns on the worksheet are $60 000 and $80 000 respectively. What is the amount of the profit or loss?

• A) $20 000 loss
• B) $60 000 profit
• C) $80 000 profit
• D) $20 000 profit

---

Definitions:

Complex Fraction

A fraction characterized by having a fraction in its numerator, denominator, or both parts.

Simplify

To reduce a mathematical expression or equation to its simplest form, making it easier to understand or solve.

Division

A mathematical operation in which a number, the dividend, is divided by another number, the divisor, to produce a quotient.

Simplify

To reduce a mathematical expression or equation to its simplest form without changing its value.