A merchandiser had sales returns and allowances of $300,sales discounts of $700,cost of goods sold of $12,000,and all other expenses of $4,500.The merchandiser uses a perpetual inventory system.The second entry in the closing process would include ________.
A)a debit to Income Summary for $17,500
B)a credit to Income Summary for $16,500
C)a debit to Income Summary for $4,500
D)a debit to Income Summary for $16,500

Question

Quizplus · Accepted Answer

The Answer of A merchandiser had sales returns and allowances of $300,sales discounts of $700,cost of goods sold of $12,000,and all other expenses of $4,500.The merchandiser uses a perpetual inventory system.The second entry in the closing process would include ________.
A)a debit to Income Summary for $17,500
B)a credit to Income Summary for $16,500
C)a debit to Income Summary for $4,500
D)a debit to Income Summary for $16,500

A Merchandiser Had Sales Returns and Allowances of $300,sales Discounts