During the closing process:
A)All income statement accounts are credited to income summary.
B)All income statement accounts are debited to income summary.
C)All revenue accounts are credited and expense accounts are debited.
D)All revenue accounts are debited and expense accounts are credited.

Question

Quizplus · Accepted Answer

During the closing process, all revenue accounts are debited to reduce their balances to zero because they normally have credit balances, and all expense accounts are credited to reduce their balances to zero because they normally have debit balances. This process transfers the balances of these accounts to the Income Summary account.

During the Closing Process