A debit balance in the income summary account indicates:
A)An error was made.
B)A Net Profit.
C)A Net Loss.
D)That revenues were greater than expenses.

Question

Quizplus · Accepted Answer

A debit balance in the income summary account indicates that the company had a net loss for the period. This means that expenses exceeded revenues, resulting in a debit balance in the income summary account.

A Debit Balance in the Income Summary Account Indicates