Answered: Which of the following accounts does a…

Which of the following accounts does a manufacturing company have that a service company does not have? Advertising Expense Salaries Payable Cost of Goods Sold Retained Earnings

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter2: Building Blocks Of Managerial Accounting

Section: Chapter Questions

Problem 2Q: Explain how the income statement of a manufacturing company differs from the income statement of a...

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Question

Which of the following accounts does a manufacturing company have that a service company does not have?

Advertising Expense
Salaries Payable
Cost of Goods Sold
Retained Earnings

Definition Definition Remaining net income of the company after the required dividends are paid to shareholders. This surplus money is usually invested back into the business to expand its business operations or launch a new product.

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