The Income summary account has a $25 000 credit balance after the revenue and expense accounts have been closed. To which account is this balance closed?

Name: The Income summary account has a $25 000 credit balance after the revenue and expense accounts have been closed. To which account is this balance closed?
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Question

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The Income Summary account's credit balance, representing net income, is closed to the Capital account to update the owner's equity.

The Income Summary Account Has a $25 000 Credit Balance