please answer 2. Which Asset account/s appears in the Statement of Financial Position of a merchandising Business butnot in a Service Firm?3. What is the primary revenue account in a merchandising business? Can a Merchandising business have aService Income account?4. In your own words, what is the Purpose of Closing Entries?5. Explain the 4 steps in Preparing the Closing Entries.

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Answered: 2. Which Asset account/s appears in the…

2. Which Asset account/s appears in the Statement of Financial Position of a merchandising Business but not in a Scrvice Firm?

College Accounting (Book Only): A Career Approach

13th Edition

ISBN:9781337280570

Author:Scott, Cathy J.

Publisher:Scott, Cathy J.

Chapter12: Financial Statements, Closing Entries, And Reversing Entries

Section: Chapter Questions

Problem 4QY: What is the third entry of the closing procedure for a merchandising business? a. Sales to Income...

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Concept explainers

Market Efficiency

Market efficiency refers to the market's ability to provide investors with all available information about investment options for buying and selling securities. Market efficiency reflects the true value of securities without undervaluing or overvaluing them. When the quality and quantity of information increase, the market becomes more efficient, allowing it to reduce arbitrage and obtain higher market returns from investment. In a well-functioning market, everyone receives all information completely and immediately at no cost. It opens up a plethora of opportunities for investors to access various investment options.

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2. Which Asset account/s appears in the Statement of Financial Position of a merchandising Business but
not in a Service Firm?
3. What is the primary revenue account in a merchandising business? Can a Merchandising business have a
Service Income account?
4. In your own words, what is the Purpose of Closing Entries?
5. Explain the 4 steps in Preparing the Closing Entries.

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