Asked by Sandra Vappie on Jun 27, 2024
Verified
When the end-of-period spreadsheet is complete, the Adjustments columns should have
A) total credits greater than total debits if a net income was earned
B) total debits greater than total credits if a net loss was incurred
C) total debits greater than total credits if a net income was earned
D) total debits equal to total credits
Adjustments Columns
Columns in accounting journals or ledgers used to make corrections or modifications to financial entries for accurate reporting.
Total Credits
The aggregate amount of credit entries made in an account or a financial statement.
Total Debits
The sum total of all debit entries made in a company's accounting ledger during a specific period.
- Recognize the purpose and necessity of adjusting entries in the preparation of financial statements.
Verified Answer
Learning Objectives
- Recognize the purpose and necessity of adjusting entries in the preparation of financial statements.
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