maxwell company worksheet for the month ended june 30, 20xx account title income statement balance sheet…

maxwell company worksheet for the month ended june 30, 20xx account title income statement balance sheet debt credit debt credit amos maxwell, capital $100.00 $1,025.00 amos maxwell, drawing income summary $3,000.00 sales $450.00 advertising expense $300.00 insurance expense $200.00 miscellaneous expense $800.00 rent expense $250.00 supplies expense $2,000.00 $3,000.00 $3,000.00 $2,000.00 net income $1,000.00 $3,000.00 $3,000.00 $3,000.00 the correct closing entry for the advertising expense account is to: a. debit advertising expense, $450.00; credit amos maxwell, capital, $450.00. b. debit advertising expense, $450.00; credit income summary, $450.00. c. debit amos maxwell, capital, $450.00; credit advertising expense, $450.00. d. debit income summary, $450.00; credit advertising expense, $450.00.

maxwell company worksheet for the month ended june 30, 20xx account title income statement balance sheet debt credit debt credit amos maxwell, capital $100.00 $1,025.00 amos maxwell, drawing income summary $3,000.00 sales $450.00 advertising expense $300.00 insurance expense $200.00 miscellaneous expense $800.00 rent expense $250.00 supplies expense $2,000.00 $3,000.00 $3,000.00 $2,000.00 net income $1,000.00 $3,000.00 $3,000.00 $3,000.00 the correct closing entry for the advertising expense account is to: a. debit advertising expense, $450.00; credit amos maxwell, capital, $450.00. b. debit advertising expense, $450.00; credit income summary, $450.00. c. debit amos maxwell, capital, $450.00; credit advertising expense, $450.00. d. debit income summary, $450.00; credit advertising expense, $450.00.

Answer

Brief Explanations:

At the end of an accounting - period, expense accounts are closed to the Income Summary account. Advertising Expense is an expense account. To close it, we debit the Income Summary account and credit the Advertising Expense account for the amount of the expense, which is $450.00 in this case.

Answer:

D. debit Income Summary, $450.00; credit Advertising Expense, $450.00