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Based on these assets,liabilties revs and expense accounts answer the following questions 1) What is the normal balance of the asset accounts? 2) If the
Based on these assets,liabilties revs and expense accounts answer the following questions
1) What is the normal balance of the asset accounts?
2) If the temporary accounts are closed on the May 31st, what normal balance should be transferred to the income statement at the end of the year by reversing the temporary revenue and expense accounts?
3) The company pays its investors 50% of its income as dividends. Assuming dividends are paid on June 31st, what would the entries look like to record this transaction on May 31st?
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InsuranceExpenses$2,000MiscellaneousExpenses$700RentExpenses$2,300SalariesExpense$15,000SuppliesExpense$2,200ServicesRevenue$40,000UnearnedRevenues*:$10,000AccountsPayable$2,000AccountsReceivable$8,000Cash$4,000Land$1,000Long-termNotesPayable$4,000SuppliesonHand$900Pre-paidInsurance:$10,000(fora5-yearinsurancepoliStep by Step Solution
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