Which of the following accounts would not be involved in preparing the income statement?
A) Depreciation expense
B) Accumulated depreciation
C) Taxes payable
D) Interest income
E) B and C

Question

Quizplus · Accepted Answer

Accumulated depreciation is a balance sheet item, reflecting the total depreciation expense that has been recorded up to a specific point in time, and Taxes payable is also a balance sheet account, representing the amount of taxes owed to the government but not yet paid. The income statement reports revenues and expenses during a specific period, not the cumulative amounts or liabilities.

Which of the Following Accounts Would Not Be Involved in Preparing