31) Revenues and expenses are closed to: A) Cash. B) Net Income. C) Dividends. D) Retained Earnings. 32) Operating income reflects: A) income from a company's main and secondary business...





31) Revenues and expenses are closed to:



A) Cash.



B) Net Income.



C) Dividends.



D) Retained Earnings.



32) Operating income reflects:



A) income from a company's main and secondary business activities.



B) income from a company's main or core business activities.



C) income from operating a company plus investment income.



D) income from continuing operations only.





33) On a multiple-step income statement, the heading or classification "Other Income" refers to:



A) Sales Returns and Sales Discounts.



B) Interest Income and Investment Income.



C) Sales Revenue.



D) Interest Expense.





34) On a multiple-step income statement, the phrase "Net Interest Expense, Net" refers to:



A) Interest Expense only.



B) Interest Income only.



C) Interest Expense minus Interest Income.



D) none of the above.





35) On a multiple-step income statement, several indicators of profitability are reported that include:



A) operating income, income before taxes, and net income.



B) selling expenses and general expenses.



C) cost of goods sold and operating expenses.



D) investment income and interest income.



36) Indicate if the account is a current asset (CA), long-term asset (LTA), current liability (CL), long-term liability (LTL), or stockholders' equity(SE):





1.Long-term Investments________



2.Equipment________



3.Building________



4.Prepaid Rent________



5.Notes Payable due in 6 months________



6.Salary Payable________



7.Notes Payable due in 3 years________



8.Goodwill________



9.Interest Payable________



10.Accounts Receivable________



11.Current Portion of Long-term Debt________



12.Additional Paid-in Capital________



13.Retained Earnings________







May 15, 2022
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