A merchandiser uses a perpetual inventory system.The third step in the process of closing the accounts of a merchandiser is to ________.
A) make the revenue accounts equal to zero via the Income Summary account
B) make the Income Summary account equal to zero via the Owner, Withdrawals account
C) make the expense accounts equal to zero via the Income Summary account
D) make the Income Summary account equal to zero via the Owner, Capital account

Question

Quizplus · Accepted Answer

The third step in closing accounts is to close the Income Summary account to the Owner, Capital account, making the Income Summary account equal to zero.

A Merchandiser Uses a Perpetual Inventory System