Income Summary appears on which financial statement:
A)Income statement.
B)Balance sheet.
C)Retained Earnings statement.
D)Income summary does not appear on any financial statement.

Question

Quizplus · Accepted Answer

The Income Summary account is a temporary account used during the closing process in accounting. It is used to summarize the year's revenues and expenses before transferring the balance to the Retained Earnings account. It does not appear on any of the main financial statements (Income Statement, Balance Sheet, or Statement of Retained Earnings).

Income Summary Appears on Which Financial Statement