The entry to close the Fees Earned account would cause:
A) the Capital account balance to increase.
B) the Capital account balance to decrease.
C) the Fees Earned account to decrease.
D) the Income Summary account balance not to be affected.

Question

Quizplus · Accepted Answer

Fees Earned is a revenue account. Closing revenue accounts decreases their balances and increases the Capital account balance.

The Entry to Close the Fees Earned Account Would Cause