6, . Net income or net loss for a period is calculated by the following formula: Answer a.total revenues - total withdrawals. b.total revenues - total expenses - total withdrawals. c.total revenues - total expenses + capital. d.total revenues - total expenses. Question 7 7. Accounts Payable had a normal starting balance of $750. There were debit postings of $600 and credit postings of $350 during the month. The ending balance is: Answer a.$1,000 debit. b.$500 debit. c.$500 credit. d.$1,000 credit. Question 8 A ledger: Answer a.is a group of accounts and their balances. b.is the same as a chart of accounts. c.can replace the financial statements. d.None of these answers are correct. Question 9 The entry to record Tom's payment of a home telephone bill is: Answer a.debit Telephone Expense; credit Cash. b.debit Telephone Expense; credit Accounts Payable. c.debit Tom's Withdrawals; credit Accounts Payable. d.debit Tom's Withdrawals; credit Cash. Question 10 An account that would be increased by a credit is: Answer a.Cash. b.Accounts Receivable. c.Utilities Expense. d.Accounts Payable. Question 11 A liability would be credited and an expense debited if: Answer a.the business bought supplies for cash. b.the business incurred an expense and did not pay the expense immediately. c.the business bought supplies on account. d.the business paid a creditor