The last step in the accounting record-keeping process is:
a. making adjusting journal entries to the accounts to correct errors and to reflect the financial statement impacts of items that occur because of usage or the passage of time.
b. preparing the income statement for the period from amounts in the income statement accounts.
c. closing the temporary income statement accounts to retained earnings.
d. preparing the balance sheet from amounts in the balance sheet accounts.
e. preparing the statement of cash flows from balance sheet amounts and from details of transactions affecting the cash account.
E
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When a partnership is formed, assets contributed by the partners should be recorded on the partnership books at their
a. book values on the partners' books prior to their being contributed to the partnership b. fair market value at the time of the contribution c. original costs to the partner contributing them d. assessed values for property tax purposes
According to Figure 4.1, the deadweight cost of the tariff totals
a. $60. b. $70. c. $80. d. $90.
The rate at which a salesperson speaks has no effect on how a customer perceives him or her.
Answer the following statement true (T) or false (F)
Real-time processing would be most beneficial in handling a firm's
a. fixed asset records b. retained earning information c. merchandise inventory d. depreciation records