After all of the account balances have been extended to the Balance Sheet columns of the work sheet,the totals of the debit and credit columns are $36,755 and $32,735,respectively.What is the amount of net income or net loss for the period?
A)$4,020 net income
B)$36,755 net loss
C)$4,020 net loss
D)$32,735 net income

Question

Quizplus · Accepted Answer

The net income or net loss is determined by the difference between the debit and credit columns. Since the debit total is higher than the credit total by $4,020, it indicates a net income of $4,020.

After All of the Account Balances Have Been Extended to the Balance