In which of the columns of a worksheet would a net loss be found?
A) in the balance sheet credit column and the income statement debit column
B) in the balance sheet debit column and the income statement credit column
C) in the unadjusted trial balance credit column, the adjusted trial balance credit column, and the balance sheet credit column
D) in the unadjusted trial balance debit column, the adjusted trial balance debit column, and the balance sheet debit column

Question

Quizplus · Accepted Answer

A net loss is an expense and would be recorded in the income statement credit column as a debit. In the balance sheet, it would reduce equity and be recorded in the balance sheet debit column. Therefore, a net loss would be found in the balance sheet debit column and the income statement credit column, which is option B.

In Which of the Columns of a Worksheet Would a Net