To Close a Revenue Account with a Credit Balance,debit the Account

question 89

True/False

To close a revenue account with a credit balance,debit the account for its balance and credit the income summary account.

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Definitions:

Corporate Profits

Corporate profits refer to the earnings of corporations after expenses and taxes have been deducted from revenues.

Labor Unions

Organizations formed by workers from related fields that work towards protecting their collective interests in terms of wages, working hours, and working conditions.

Rent

A regular payment made by a tenant to an owner for the use of the owner’s building, land, or other property.

Nominal Interest Rates

The interest rates before taking inflation into account, often quoted by financial institutions.