The Revenue,expenses,Sales Returns and Allowances,and Sales Discounts Will Be Closed

question 68

Multiple Choice

The revenue,expenses,Sales Returns and Allowances,and Sales Discounts will be closed via the ________.

• A)Income Summary account
• B)Retained Earnings account
• C)Dividend account
• D)Fixed asset account

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Definitions:

Deposit In Transit

Funds that have been received and recorded by a company but not yet reflected in the bank's records.

NSF Notation

An abbreviation for "Non-Sufficient Funds," used by banks to indicate that a check cannot be honored because the account holder's account lacks the funds to cover it.

Sales Returns And Allowances

Accounts used to record reductions in revenue from previously recorded sales due to product returns or concessions granted to customers for damaged or unsatisfactory goods.

Defective Furniture

Furniture that has imperfections or faults diminishing its value or utility, often leading to discounts or the need for replacement.