The revenue,expenses,Sales Returns and Allowances,and Sales Discounts will be closed via the ________.
A)Income Summary account
B)Retained Earnings account
C)Dividend account
D)Fixed asset account

Question

Quizplus · Accepted Answer

The Income Summary account is used to close the revenue, expenses, sales returns and allowances, and sales discounts accounts at the end of an accounting period. The balance in the Income Summary account is then transferred to the Retained Earnings account. Dividend accounts and fixed asset accounts are not involved in the closing process.

The Revenue,expenses,Sales Returns and Allowances,and Sales Discounts Will Be Closed