Which of the following statements is incorrect regarding preparing financial statements?a. The adjusted trial balance lists only the balance sheet accounts in "debit" and "credit" format.b. The adjusted trial balance is the primary source of information needed to prepare the financial statements.c. The financial statements are prepared in the following order: (1) the income statement, (2) the retained earnings statement, and (3) the balance sheet.d. The income statement and the balance sheet are related through the retained earnings account.

Which of the following statements is incorrect regarding preparing financial statements?a. The adjusted trial balance lists only the balance sheet accounts in "debit" and "credit" format.b. The adjusted trial balance is the primary source of information needed to prepare the financial statements.c. The financial statements are prepared in the following order: (1) the income statement, (2) the retained earnings statement, and (3) the balance sheet.d. The income statement and the balance sheet are related through the retained earnings account.

College Accounting (Book Only): A Career Approach

13th Edition

ISBN:9781337280570

Author:Scott, Cathy J.

Publisher:Scott, Cathy J.

Chapter9: Sales And Purchases

Section: Chapter Questions

Problem 3QY: Using the information contained in the accounts receivable ledger, the accountant can prepare...

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