The Net Income amount from the Income Statement is transferred to which of the following statements?
A) the profit and loss statement
B) the statement of owner's equity
C) the balance sheet
D) the trial balance

Question

Quizplus · Accepted Answer

The Net Income amount from the Income Statement is transferred to the statement of owner's equity, as it represents the amount of money earned by the business after deducting all expenses. This amount is added to the beginning balance of owner's equity and any additional contributions made by the owner(s) to calculate the ending balance of owner's equity.

The Net Income Amount from the Income Statement Is Transferred