The balance of the following accounts were closed to

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45.The balance of the following accounts were closed to the Income SummaryAccount: Salary Expense, P50,000 debit; Cost of Goods Sold, P80,000 debit;Utility Expense, P25,000 debit; Sales, P200,000 credit. The amount and the entryto close Income Summary to the Capital account would bea.P45,000 credit to the Income Summary Accountb.P45,000 debit to the Income Summary Accountc.P155,000 debit to the Income Summary Accountd.P200,000 credit to the Income Summary Account46.If the Income Summary Account has a credit balance of P150,000 before the
balance is closed to the Capital Account, you know that47.On August 1, 2020, the Gabriel Company paid P36,000 in advance for a one-
year insurance policy starting on this dat. Gabriel debited Insurance Expense andcredited Cash for P36,000.If the adjusting entries are recorded manually, the appropriate adjusting entry ateDecember 31, 2020 is a debit to48.Using the information in no. 47 and assuming the Gabriel Company prepares
reversing entries, what is the correct reversing entry on January 1, 2021.

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Term
Spring
Professor
N/A
Tags
Revenue, Generally Accepted Accounting Principles, Prepaid Insurance, C Prepaid Insurance, a Prepaid insurance, credit Sales Discounts

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