If the total of the Income Statement Credit column, before ...

[Zoey63294]

If the total of the Income Statement Credit column, before determining net income or net loss, exceeds the total of the Income Statement Debit column, the result is a net loss for the year.
 a. True
   b. False
   Indicate whether the statement is true or false

Question 2

A city experienced several auto damage claims during its year ended December 31, 2012 . The total amount claimed was 600,000 . No cash was paid out in 2012 . However, claims totaling 200,000 were settled by December 31, 2012 .
 
  These claims were settled for 80,000, and were scheduled for payment on January 15, 2013 . City attorneys felt that the remaining 400,000 of claims could be settled during 2013 for about 160,000 . How much should the city recognize as claims expenses in its government-wide financial statements for 2012?
   a. 0
   b. 80,000
   c. 240,000
   d. 480,000

[cegalasso]

Answer to Question 1

False

Answer to Question 2

c

[Zoey63294]

Excellent

[ricroger]

TYSM