Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. why are separate "expense" and "revenue" accounts

Why are separate "expense" and "revenue" accounts used when all revenues and expenses could be...

70.2K

Verified Solution

Question

Accounting

Why are separate "expense" and "revenue" accounts used when all revenues and expenses could be shown directly in the retained earnings account?

Describe three examples of transactions that would affect a firm's income statement. For each transaction, identify if the transaction has a positive or negative effect on the firm's net income.

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Statistics
1.2K views

An economist wants to estimate the mean per capita income (in thousands of dollars) for a...

Physics
1.2K views

Three equal charges of magnitude q=286.3 micro C, but of the same sign, are located at...

Mechanical Engineering
1.2K views

1. What is mesh convergence and how is it achieved in FEA in the absence of...

Biology
1.2K views

The figure is a parallelogram The mZACD 4x 4 and m ABD 6x 14 Find...

Physics
1.2K views

The human heart discharges 75 cc of blood through the arteries at each beat against...

Algebra
1.2K views

Write an equation of the line parallel to 4x-7y=11 and contains the point (-28, 5).

Accounting
1.2K views

Mason Company has prepared consolidated financial statements for the current year...

Accounting
1.2K views

Hertzog Company purchased and installed a machine on February 1,2014, at...

Accounting
1.2K views

Internal controls are designed to safeguard assets, encourage employees to folllow company policies, promote operational...

Accounting
1.2K views

The following transactions occurred during Jan: 1/1 Leonard Matson started a programming service business by...

Accounting
1.2K views

Prepare a statement of retained earnings for the year ended December 31. (Round your final...

Accounting
1.2K views

Comparative statements of retained earnings for Renn-Dever Corporation were reported in its 2018 annual report...