Bertoli Company showed the following balances at the end of its first year: $\begin{array}{lr}
\text { Cash } & \$ 4,000 \
\text { Prepaid insurance } & 7,000 \
\text { Accounts receivable } & 8,000 \
\text { Accounts payable } & 4,000 \
\text { Notes payable } & 7,000\
\text { Owner's Capital } & 3,000 \
\text { Owner's Drawings } & 2,000 \
\text { Revenues } & 32,000 \
\text { Expenses } & 25,000
\end{array}$ What did Bertoli Company show as total credits on its trial balance?
A) $14000
B) $46000
C) $44000
D) $48000

Question

Quizplus · Accepted Answer

Total credits include Accounts Payable, Notes Payable, Owner's Capital, and Revenues. Adding these together gives: $4,000 (Accounts Payable) + $7,000 (Notes Payable) + $3,000 (Owner's Capital) + $32,000 (Revenues) = $46,000.

Bertoli Company Showed the Following Balances at the End of Its