Income summary before closing to capital contains a debit


Question - Income Summary, before closing to Capital, contains a debit balance of $110 and a credit balance of $200. What is the entry to close Income Summary to Capital?

A. Debit Income Summary $90; credit Capital $90

B. Debit Capital $90; credit Income Summary $90

C. Debit Income Summary $100; credit Capital $200

D. Debit Income Summary $86; credit Capital $110

Solution Preview :

Prepared by a verified Expert
Accounting Basics: Income summary before closing to capital contains a debit
Reference No:- TGS02910795

Now Priced at $20 (50% Discount)

Recommended (93%)

Rated (4.5/5)