In preparing the first two closing entries, to which of the following columns of the work sheet does one refer?
A) Balance Sheet columns
B) Adjusted Trial Balance columns
C) Income Statement columns
D) Trial Balance columns
E) Adjustments columns

Question

Quizplus · Accepted Answer

The first two closing entries involve closing out revenue and expense accounts, which are summarized in the Income Statement columns of the work sheet. These entries are made to transfer the balances of these accounts to the Income Summary account, effectively preparing the accounts for the next accounting period.

In Preparing the First Two Closing Entries, to Which of the Following