All of the following statements regarding the Income Statement columns on the worksheet are true except:
A)The balances in the Income Statement credit column are revenues.
B)The balances in the Income Statement credit column are unearned revenues.
C)The balances in the Income Statement debit column are expenses.
D)The difference between the totals of the Income Statement columns is net income or net loss.
E)The net income or net loss from the Income Statement columns is entered in the Balance Sheet & Statement of Retained Earnings columns.

Question

Quizplus · Accepted Answer

The balances in the Income Statement credit column are not unearned revenues. The balances in the Income Statement credit column are revenues earned by the business. Unearned revenues would be recorded in a liability account.

All of the Following Statements Regarding the Income Statement Columns