Which of the following accounts will be closed by crediting the Income Summary account?
A) Service Revenue
B) Depreciation Expense
C) Accounts Payable
D) Accumulated Depreciation

Question

Quizplus · Accepted Answer

The Service Revenue account should be closed by crediting the Income Summary account because it is a revenue account and closing entries are made to transfer the balance of revenue or expense accounts to the Income Summary account. The Depreciation Expense account and Accumulated Depreciation account are both contra-asset accounts that are not closed at the end of the accounting period. The Accounts Payable account is a liability account and is not closed at the end of the accounting period.

Which of the Following Accounts Will Be Closed by Crediting