evertbryan
Answered

Look at the following financial ledger.

\begin{tabular}{|l|l|l|}
\hline & \multicolumn{1}{|c|}{ A } & B \\
\hline 1 & Transaction & Amount \\
\hline 2 & Gift & [tex]$\$[/tex] 45.00$ \\
\hline 3 & Credit bill & [tex]$-\$[/tex] 33.69$ \\
\hline 4 & Online auction & [tex]$\$[/tex] 16.75$ \\
\hline 5 & Insurance payment & [tex]$-\$[/tex] 66.41$ \\
\hline 6 & Craft fair & [tex]$-\$[/tex] 24.25$ \\
\hline
\end{tabular}

Which items listed on the ledger represent credits?

A. Credit bill and craft fair
B. Gift and online auction
C. Gift and insurance payment
D. Online auction and craft fair

Please select the best answer from the choices provided.



Answer :

GinnyAnswer
To determine which items on the ledger represent credits, we need to look at the "Amount" column. In financial terms, credits are positive amounts, whereas debits are negative amounts.

Let's examine each transaction:

1. Gift: \$45.00 (positive amount, represents a credit)
2. Credit bill: -\$33.69 (negative amount, represents a debit)
3. Online auction: \$16.75 (positive amount, represents a credit)
4. Insurance payment: -\$66.41 (negative amount, represents a debit)
5. Craft fair: -\$24.25 (negative amount, represents a debit)

From this examination, the transactions that represent credits are:

- Gift: \$45.00
- Online auction: \$16.75

Therefore, the correct answer is:
b. Gift and online auction

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