1. 
2. an expense account normally has a credit balance - T / F ?
3. The financial statement that summarizes how equity changes over the reporting period is called the balance sheet. true or false
4.
The Dividends account is normally closed by debiting it. - true or false
Homework Answers
1) OPTION - $297,000. Total Assets - Liabilities = Equity. (Total Assets = Cash + Buildings + Equipment)
=> Equity = ( $57,000 + $175,000 + $206,000) - $141,000 = $297,000.
2)FALSE. Expense account Normally has a debit balance and it is charged to Income statement or Profit and loss statement.
3)FALSE. Balance sheet shows the position of assets and liabilities as on the last date of financial year, but doesn't show the changes in equity. (Retained Earnings statement shows the changes in equity.)
4)FALSE Dividend account is closed by debiting the Retained earnings and by crediting the dividend Expenses account If Dividend is paid.
If you have any doubts please comment on the answer.
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2. an expense account normally has a credit balance - T / F
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2.
3.
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