To close the Fees Earned account:
A) debit Fees Earned; credit Capital.
B) debit Fees Earned; credit Withdrawals.
C) debit Fees Earned; credit Income Summary.
D) debit Capital; credit Fees Earned.

Question

Quizplus · Accepted Answer

To close the Fees Earned account, you debit Fees Earned to decrease it and credit Income Summary to transfer the revenue balance into the Income Summary account as part of the closing process.

To Close the Fees Earned Account