Which of the following accounts has a balance equal to Net Income immediately before it is closed?
A)Income Summary
B)Owner's Name, Withdrawals
C)Net Income
D)Owner's Name, Capital

Question

Quizplus · Accepted Answer

Income Summary is a temporary account used to close revenue and expense accounts at the end of an accounting period. Its balance will be equal to the net income before it is closed and transferred to the permanent owner's equity account.

Which of the Following Accounts Has a Balance Equal to Net