The entry to close Income Summary toNova, Capital includesThe income statemernt for the year 2008 of Nova Ca contains the following information:P70,000RevenuesExpenses:Wages ExpenseP45,000Rent Expense12,000Advertising Exponse6,000Supplies Expense6,000USities Expense2,500Insurance Expense2,000Total expensesNot income (losa)73,500P3.500)O a debit to Revenue for P70,000.credits to Expenses totalling P73,500.a credit to Income Summary for P3,500.a credit to Nova, Capital for P3,500.

Formula: Net income = Revenues - expenses

Answered: The entry to close Income Summary to…

Cornerstones of Financial Accounting

4th Edition

ISBN:9781337690881

Author:Jay Rich, Jeff Jones

Publisher:Jay Rich, Jeff Jones

Chapter7: Operating Assets

Section: Chapter Questions

Problem 5MCQ: Refer to the information for Cox Inc. above. What amount would Cox record as depreciation expense at...

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The entry to close Income Summary to Nova, Capital includes The income statemernt for the year 2008 of Nova Ca contains the following information: Revenues Expenses: Wages Expense P70,000 P45,000 Rent Expense 12,000 Advertising Expense 6,000