Which Accounts Do Not Appear On The Balance Sheet? (Check All That Apply.)
The correct options of this multiple choice question (mcq) are C, F, G and J as Utility Expense and Service Revenue are Income Statement Accounts which are Temporary Accounts (TA) as these are zero out at the end of the accounting period, so these having no balances and transferred to Income Summary Account . Dividend is a TA and a Contra Equity Account but not an Expense. It is deducted from retained earnings in the statement of retained earnings, so it is neither appeared on Balance Sheet ( BS ) nor on Income Statement. However, if the dividend is not paid to shareholder after the declaration, then dividend payable is shown on balance sheet on liabilities & equity side under current liabilities section. The profit sharing also does not appear on BS. It shows the portion of profits distributed among employees which is an expense for the company to pay to employees in the form of bonuses, incentives, etc., as a reward for their valuable achievements & contributions...