Closing which of these accounts results in a credit to the profit or loss summary account?
A) Sales
B) Insurance expense
C) Depreciation
D) Drawings

Question

Quizplus · Accepted Answer

Closing the Sales account results in a credit to the profit or loss summary account because sales revenue increases equity, and closing this account involves transferring its credit balance to the profit or loss summary.

Closing Which of These Accounts Results in a Credit to the Profit