The Steps in the Closing Process Are (1) Close Credit

question 130

True/False

The steps in the closing process are (1) close credit balances in revenue accounts to Income Summary; (2) close debit balances in expense accounts to Income Summary; (3) close Income Summary to Owner's Capital; (4) close Withdrawals to Owner's Capital.

---

Definitions:

UCC

This legislative compendium, known as the Uniform Commercial Code, sets the standards for all commercial transactions within the US borders.

Certified Check

A type of check for which the issuing bank guarantees the availability of funds by verifying the drawer's signature and setting aside the check amount.

Bank's Signature

An authorized signature from a bank representative, used to validate or authorize transactions and documents.

Certified Checks

Checks guaranteed by a bank, verifying that the signature is genuine and that the check writer has sufficient funds in their account.