Snap Shot, Inc

The income statement for the month of June, 2020 of Snap Shot, Inc. contains the following information:

Revenues $7,300

Expenses:

Salaries and Wages Expense $3,000

Rent Expense 1,300

Advertising Expense 700

Supplies Expense 200

Insurance Expense 100

1- At June 1, 2016, Snap Shot reported owner's equity of $36,000. The company had no owner drawings during June. At June 30, 2016, the company will report owner's equity of

a.$30,700.

b.$36.000.

C.$38,000

d.$43,300.

2- The entry to close the revenue account includes a

a. debit to income summary for $2,000

b.credit to income summary for $2,000

c. debit to income summary for $7,300

d. credit to income summary for $7,300

3- After the revenue and expense accounts have been closed, the balance in income Summary

will be

a.debit balance of $7,300.

b. debit balance of $2,000.

c. credit balance of $2,000,

d. a credit balance of $7,300.

4- The entry to close the expense accounts includes a

a. debit to Income Summary for $2,000.

b. credit to Rent Expense for $1,300.

C. credit to Income Summary for $5,300.

d. debit to Salaries and Wages Expense for $3,000.

5- After the revenue and expense accounts have been closed, the balance in Income

Summary will be

a. a debit balance of $7,300.

b. a debit balance of $2,000.

c. a credit balance of $2.000.

d. a credit balance of $7,300.

6- The entry to close income summary to Owners capital includes

a. a debit to Revenues for $7,300.

b. credits to Expenses totalling $5,300.

C. a credit to Income Summary for $2,000

d. a credit to Owner's Capital for $2,000

7- The entry to close the revenue account includes a

a. debit to Income Summary for $2,000.

b. credit to Income Summary for $2,000.

C debit to Income Summary for $7,300.

d. credit to Income Summary for $7,300