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Closing Entries
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Problem 1
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Problem 7
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Problem 10
Closing Entries
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3. Accrual Accounting Concepts / Closing Entries / Problem 7
Problem 7
What role does the income summary account play during the closing process?
A
It is a permanent account that tracks all income and expenses.
B
It is used to adjust the balance sheet accounts.
C
It is used to record all cash transactions during the year.
D
It temporarily holds the balances of revenues and expenses to determine net income.
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