The First Step in the Closing Process Is To

question 32

Multiple Choice

The first step in the closing process is to:

• A) close all balances on the income statement debit column of the worksheet except Income Summary.
• B) transfer the balance from the Income Summary Account to the Capital Account.
• C) close all balances on the income statement credit column of the worksheet except Income Summary.
• D) transfer the balance of the Owner's Withdrawals Account to Capital.

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Definitions:

Licensee

An individual or entity that has been granted permission to engage in an activity or to use property owned by another, typically through a licensing agreement.

Church Services

Ceremonies or worship sessions conducted by a Christian congregation or denomination.

Door-to-Door

A sales or marketing tactic where products or services are offered by going directly to the homes or businesses of potential customers.

Summary Judgment

A legal procedure in which the court makes a decision based on the facts of a case without a trial, used when there is no dispute about the facts and only a question of law is at issue.